The financial platform Neon Money Club today launched Score, an exclusive relationship application for people with a good or excellent Credit Score.
The application, which arrives in time for Valentine’s Day, claims to promote awareness about the importance of finances in relationships, but will probably generate some controversy.
How does Score work?
Image: Disclosure / Neon Money Club
First, it is important to understand what the Credit Score is. Also known as a “credit score”, the Credit Score is a score that evaluates a person’s ability to meet financial obligations and commitments.
This score is assigned based on data such as payment history, any outstanding debts, monthly income, types of credit previously used, among other factors; and determines whether the individual can, for example, obtain loans. In short, it is a kind of indicator of someone’s financial health.
According to information released by Neon Money Club, the Score will be available for download and registration for around 90 days. Upon signing up, users will undergo a “soft credit check” just to confirm that their participation is permitted.
To be able to access the application, you must have a Credit Score of at least 675.
This credit check will not affect users’ credit reports. After approval, users will be able to view other people’s profiles and choose according to different interests, including those who have similar financial interests.
Elitist or promoter of financial awareness?
Image: Disclosure / Neon Money Club
According to Neon Money Club, the application arose from the company’s interest in addressing credit health in other contexts. The financial platform said it recognizes that talking about money can be uncomfortable, but that finances are an important part of relationships.
“We need to take the conversation to areas where finances are not traditionally discussed. […] Before educating people, you need to get their attention. With Score, we’re bringing the conversation to dating,” said Luke Bailey, co-founder and CEO of Neon Money Club, in an interview with TechCrunch.
According to data from the Institute for Divorce Financial Analysts, financial issues are one of the leading causes of divorce in the United States. And for Bailey, traditional methods of raising financial awareness are outdated. Therefore, the bet on Score.
The app’s proposal is not just to connect rich people. The average Credit Score of a United States citizen is 716, and the minimum score required by the application is 675. Furthermore, this score will not be displayed in the app, meaning it will not be possible to choose based on this criterion.
On the other hand, the platform ends up becoming elitist when considering, for example, that the black and Hispanic population in the United States has an average Credit Score of 640.
When asked about this possible perpetuation of the class divide, Bailey explained that having good credit is more aspirational than classist. According to the CEO, it is perfectly possible to have a low Credit Score even with a high income.
Furthermore, Score will provide financial education to those who are denied access to the app, to help them improve their Credit Score and, in the future, try to gain new access to the platform’s products. For Bailey, it’s an intentionally positive cycle.
“After that, these people are sent back to us to qualify for our products. There needs to be more awareness about the opportunities that can be opened with a good credit history”, explained the CEO.
Launched in 2021 with the aim of tracking financial literacy, Neon Money Club became, in 2023, the first black-owned technology company to launch a credit card with AMEX.