The loan default is another strange chapter in the saga of Tomo Credit, which has recently drawn hundreds of consumer complaints for making its subscription service hard to cancel.

Last fall, on a popular Reddit message board, dozens of consumers fumed about how their credit cards from San Francisco startup TomoCredit had abruptly stopped working. The card, first launched in 2019, was designed to serve immigrants, international students and other U.S. residents with thin files at the credit bureaus. Some Redditors said they could no longer access rewards funds locked in their accounts. Others reported that Tomo’s customer support team had responded to their complaints, confirmed the accounts would be closed and written, “We have paused the Tomo Card due to system updates.” To Forbes’ knowledge, Tomo hasn’t restarted its credit card business since then.

When we spoke with Tomo CEO Kristy Kim just last week, she said she had pivoted Tomo in the summer of 2023 from a credit card to a subscription service that boosts your credit score so that she could serve a........

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