New US debit card fintech Xrent aims to help renters get on the property ladder
A new debit card is set to launch in the US that aims to lessen the period of time — and cost — the average tenant spends renting.
Xrent is a debit card for renters who want to get on the housing ladder faster. The fintech’s fully automated ‘rent-to-mortgage’ programme is designed to direct rent payments toward homeownership.
The start-up writes on its website that the programme delivers the same benefits of a rent-to-own programme without being limited to rent-to-own properties.
Xrent says the average American renter will rent for 10 to 15 years and spend $250,000 to $500,000.
The fintech will instead set up a planned roadmap to follow in order to receive a mortgage for a desired home within three to five years.
Paying rent with the card also boosts users’ credit scores thanks to the start-up’s UpiT system. Every rent payment made with the card also enters the holder into a prize draw with the chance to win a house, mortgage down payment or one year’s worth of rent.
The start-up also provides a security deposit service and says it can also simplify the rent-paying process when living with roommates.
The card’s waitlist is open for registration. No launch date has been confirmed.