Pinch

Pinch operated as a financial technology firm targeting the U.S. rental market with a novel approach to credit building. Founded around 2016 by Maia Bittner and Michael Ducker, the company aimed to address a significant gap in the consumer credit system where timely rent payments, often a person's largest monthly expense, were not factored into credit scores. The venture was a product of San Fran-based Ferment Labs, a technology company that had previously raised approximately $900K in equity.

The core of Pinch's business was a mobile application that empowered tenants to report their rent payments directly to the three major credit bureaus: Experian, TransUnion, and Equifax. The process was designed for user simplicity; tenants would download the app, provide their lease agreement, and connect their bank account. By submitting proof of payment, such as a photo of a cleared check, the service would report the transaction, framing it as an installment loan to positively influence the user's credit mix—a factor that accounts for 10% of a FICO score. This service was particularly beneficial for individuals with limited or no credit history, offering a pathway to establish or improve their credit profile without incurring new debt.

The business model appeared to be primarily free for end-users, distinguishing it from competitors like Rental Kharma. Revenue generation was potentially planned through data aggregation or premium offerings for property managers. Despite showing initial promise and reporting that many users saw a credit score increase, Pinch's journey was short-lived. On June 27, 2018, the company abruptly ceased operations, informing users that the credit bureaus would no longer accept the data it provided. Following the shutdown, it was reported in September 2018 that the neobank Chime had acquired Pinch, intending to integrate its expertise to develop credit-building tools for its own customer base, largely composed of millennials.

Keywords: rent reporting, credit building, fintech, Maia Bittner, Michael Ducker, tenant credit, rental payments, credit score, installment loan, TransUnion, Experian, Equifax, Chime acquisition, Ferment Labs, financial wellness, proptech, consumer finance, credit history