Author: Admin

AI-driven financial guidance helps users enjoy the holidays without the credit card hangover.

SAN FRANCISCO, November 12, 2025 — This holiday season, TomoCredit, the AI-powered financial startup dedicated to building a more inclusive credit system, is reminding consumers that the best gift they can give themselves is financial peace of mind.

While the average American plans to spend over $1,000 on holiday gifts and celebrations, many will rely on buy now, pay later platforms and high-interest credit cards that can lead to long-term debt. TomoCredit’s new AI financial advisor—a digital financial assistant designed to help users spend smarter, save consistently, and protect their credit—offers a fresh alternative: enjoy the holidays, debt-free.

“Our mission has always been to help people build credit responsibly,” said Kristy Kim, Founder and CEO of TomoCredit. “The holidays can be stressful financially. We want to make sure our users have the tools to celebrate joyfully without setting themselves back in the new year.”

Smarter Spending, Made Simple
Tomo’s AI financial advisor uses real-time data to detect risky spending behavior and send friendly, actionable insights before users overspend, like:

• “Your weekly spend is 20% higher than your income inflow — consider pausing new purchases until your next paycheck.”
• “You’re close to hitting your credit card limit. You $150 till your next payment cycle in 2 days. With your recent credit score increase, you are eligible for limit increase”

This proactive approach helps prevent rolling balances, overdrafts, and financial anxiety—common side effects of holiday overspending.

Personalized Budgeting for Every User
Using transaction data and behavioral insights, Tomo’s AI advisor can:

• Automatically categorize expenses and identify safe areas to cut back
• Suggest achievable micro-goals, such as saving $30 per week for gifts
• Recommend small adjustments that add up to meaningful progress

The result? Automated financial discipline, personalized to each user’s lifestyle, without feeling restrictive.

Credit Building, Simplified
Tomo’s AI dashboard also helps users understand how small changes impact their credit health, offering tips like:

• “Keep usage below 30% this month to improve your score by 15 points.”
• “Add an on-time payment this week to strengthen your credit profile.”

These insights take the guesswork out of credit-building and empower users to make confident, informed decisions.

Secure, Always-On Support
During a season when fraud and overspending often spike, Tomo’s AI continuously monitors for unusual patterns and flags potential risks in real time—helping users protect both their money and their identity.

At a time of year when generosity often outpaces budgets, TomoCredit is proving that mindful money management can be a gift all in itself. With its new AI financial advisor, Tomo helps users celebrate the holidays with confidence—knowing that every purchase, gift, and plan is aligned with their long-term financial wellbeing.

TomoCredit, the financial wellness platform that helps immigrants and other underserved groups get access to essential credit without a credit score, announced today a simple & straightforward 5-week plan to boost consumer credit before the holiday shopping season begins for consumer awareness.

With the holidays around the corner, repairing a less-than-stellar credit score can give shoppers access to better financing options and relieve some financial stress during the biggest spending season of the year. Based on Tomo’s recent data, a bad credit score will cost the average American an estimated $150,000 alone over their lifetime.

Here’s their advice that anyone can start using now: 

Week 1: Review Your Credit Report and Dispute Any Errors

Start by checking a free credit report from the three major bureaus (Experian, Equifax, TransUnion). Look closely for errors, like incorrect balances, payments, or accounts that don’t belong to you. A recent Tomo study found that 40% of respondents had errors on their credit report. Disputing errors is a straightforward process through each bureau’s online portal and can make a significant impact on your credit if the error affects your score. Simply correcting these issues can often improve your score in just a matter of days or weeks.

Week 2: Pay Down High-Balance Cards

If you’re carrying high balances on one or more cards, focus on paying these down. Credit utilization is a key factor in your credit score, so aim to get your balances below 20% of your credit limit on each card. Prioritize paying down the cards with the highest interest rates or balances. Every dollar you reduce in credit utilization helps your score – so even small payments here can make a large impact quickly.

Week 3: Settle Small Outstanding Debts

Check your credit report for any small debts, like unpaid bills or overdue payments that have gone to collections. If you can afford it, settle these accounts now. Reach out to creditors to negotiate “pay-for-delete” deals, where they agree to remove the negative mark from your credit report if you settle. This can immediately impact your score by eliminating derogatory marks.

Week 4: Avoid Opening New Credit Accounts

While it might seem like a new card could help with holiday purchases, new credit inquiries can actually lower your score, at least temporarily. Lenders look at recent hard inquiries as a sign of increased financial risk. Keep your focus on managing current accounts wisely, and hold off on applying for any new credit until your score has improved.

Week 5: Make Consistent On-Time Payments

For a final boost, ensure every bill gets paid on time. Set up reminders or automatic payments to avoid missing due dates. Consistently paying on time shows lenders you’re a reliable borrower, and it’s one of the most effective ways to increase your score quickly. If you can, make an extra payment toward any remaining high balances.

As you approach the holidays, continue to keep your credit card balances low. High holiday spending can negate your efforts, so try to keep holiday purchases within your budget. Avoid maxing out your credit cards to preserve the gains you’ve made in the past five weeks.