Obligo’s security deposit alternative is now supported by Wells Fargo Letters of Credit, in a modern twist on a tried and trusted bank product.
We’re proud to announce an innovative model, supported by Wells Fargo, that further enhances our product offering. Obligo is now the only security deposit alternative utilizing bank-issued Letters of Credit to provide landlords and tenants with security, flexibility and ease of transaction.
Obligo’s holistic product suite powers a trusted and streamlined rental experience, including the use of Open Banking data to determine a renter’s eligibility to rent without a traditional cash deposit. Landlords and property managers using Obligo’s service can now enjoy enhanced protection via Wells Fargo Letters of Credit, while renters enjoy the ability to rent deposit-free.
“Wells Fargo has been an incredible advisor on this initiative. They share our vision of leveraging existing bank products in new ways to support proptech innovation and have been extremely agile in helping this updated model come to life,” said Roey Dor, CEO of Obligo. “We are excited to announce this strategic initiative as we expand to provide deposit-free living to millions of households nationwide.”
“Wells Fargo works with leading edge fintech companies as they scale, and we are thrilled to work with Obligo on this unique solution,” said Rahul Baig, Managing Director, Head of Venture Capital Coverage at Wells Fargo. “With this innovative approach, Obligo is providing rental market participants with tech-enabled options to make their lives easier.”
Obligo harnesses financial technology to build trust between renters and landlords, making the rental process as simple as checking in and out of a hotel. In 2018, brothers Roey and Omri Dor founded Obligo as a holistic product suite to streamline rental owners operations, boost their bottom line, power a superior rental experience and comply with ever-changing regulations.
Obligo’s solution suite today includes free certified electronic move-in payments, a flexible credit-backed deposit alternative, and automated electronic deposit refunds, complemented by powerful integrations with industry leading software.
With its recent Series B funding round, Obligo has now raised over $50 million, led by investor 83North. Additional investors include HighSage Ventures, 10D, Entrée Capital, Alumni Ventures, MUFG Innovation Partners, La Maison Partners and other strategic partners.
About Wells Fargo
Wells Fargo & Company (NYSE: WFC) is a leading financial services company that has approximately $1.9 trillion in assets, proudly serves one in three U.S. households and more than 10% of small businesses in the U.S., and is the leading middle market banking provider in the U.S. We provide a diversified set of banking, investment and mortgage products and services, as well as consumer and commercial finance, through our four reportable operating segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth & Investment Management. Wells Fargo ranked No. 37 on Fortune’s 2021 rankings of America’s largest corporations. In the communities we serve, the company focuses its social impact on building a sustainable, inclusive future for all by supporting housing affordability, small business growth, financial health, and a low-carbon economy. News, insights, and perspectives from Wells Fargo are also available at Wells Fargo Stories.