FS Card

About FS Card

FS Card Inc. was established in 2014 in Washington D.C. with the objective of addressing the small-dollar lending market. The company was founded by Marla Blow, who brought extensive experience from her tenure at Capital One and as a key figure in the establishment of the Consumer Financial Protection Bureau (CFPB), where she was the Assistant Director for Card and Payment Markets. This background provided her with deep insights into the credit and payment industries, particularly concerning underserved consumers.

The firm operates as a financial services company targeting consumers with limited or challenging credit histories. Its primary offering was the "Build Card," an unsecured credit card designed to provide an affordable alternative to high-cost financial products. The business model focused on using machine learning algorithms for its underwriting platform, aiming to identify inflection points in a consumer's financial behavior rather than solely relying on past credit performance. This approach allowed the company to offer a $500 unsecured credit card, a significant product for a demographic that often struggles to meet the security deposit requirements of secured cards.

Revenue was generated through the interest and fees associated with its credit card products. By reporting payments to major credit bureaus, the Build Card was positioned as a tool for customers to improve their credit history and financial health. The company experienced substantial growth, expanding its portfolio significantly and securing a $150 million financing round in 2017 to support this expansion. Ultimately, FS Card Inc. was sold to a strategic acquirer in December 2018.