Fasten is an innovative financial technology company dedicated to making car ownership more affordable and rewarding. The company’s flagship product, the Fasten Rewards Visa Card, offers a unique value proposition for both consumers and dealerships, making car payments more manageable while fostering loyalty and engagement in the automotive industry. Pulse 2.0 interviewed Fasten founder and CEO Jacob Zachs to gain a deeper understanding of the company.
Jacob Zachs’ Background
What is Jacob Zachs’ background? Zachs said:
“I’ve been in the start up world for years now. Before starting Fasten, I spent a lot of time in early-stage startups. I was employee #12 at Newsela and helped to scale it unicorn-level. I co-founded AiTA Bio, a medical device company, and was employee #2 at Forage, and stayed through Y Combinator and a $22 million Series A. It was after moving to the suburbs that I got the idea to start my own business with Fasten.”
Formation Of The Company
How did the idea for the company come together? Zachs shared:
“After living in NYC for several years, my family and I moved to the suburbs. Naturally, one of the first things we had to do was buy a car. As we went through the purchase process, I couldn’t believe there was no quality loyalty program for the auto industry. It’s 2025, and rewards are everywhere. I get rewarded for Starbucks, for Netflix, even my rent. Why not my auto loan?”
“Once I became a car owner and started dealing with all the expenses beyond just the loan, it became really clear that there was an opportunity to create a program that rewards car owners for the purchases they’re already making. Now we’re creating this product that is for all auto loans and leases, and doesn’t require acceptance from a bank or lender.”
Favorite Memory
What has been your favorite memory working for the company so far? Zachs reflected:
“Launching the Fasten Rewards Visa Card! Launching a credit card, especially an unsecured consumer card, is a massive undertaking. With America being on the cusp of auto tariffs, now is the perfect time to help all drivers, which is 91% of Americans.”
Core Products
What are the company’s core products and features? Zachs explained:
“We’re really a business-to-business-to-consumer company. Our main product is the Fasten Rewards Visa Card. But it’s a lot more than just a credit card. It enables dealerships, really for the first time, to launch loyalty programs that help them build repeat customers. We also make it possible for consumers to earn accelerated points on all their auto-related transactions, and redeem those points for whatever they want – cash, a vacation, even their next down payment on a new car.”
“Just an example. Break changes are $1,200. Not a small amount. Now, if you can put that on the card, and then redeem those accelerated points for travel, we can become the card where you can buy your dream car, or go on your dream vacation.”
Challenges Faced
What challenges have Zachs and the team face in building the company? Zachs acknowledged:
“In general, the auto industry is going through a lot of uncertainty with tariffs. But even with the price of buying and owning a vehicle going up 30% since 2020 (and that is before tariffs kick in), people have to drive. This is America, and driving is just a fundamental part of our culture. Whether people are rushing to buy now or waiting for more certainty, driving isn’t going away. And as monthly loan payments, car washes, and gas get more expensive, it just makes rewards that much more valuable. Fasten can help drivers bring down the cost of car ownership by potentially thousands of dollars.”
Evolution Of The Company’s Technology
How has the company’s technology evolved since its launch? Zachs noted:
“We continue to see incredible traction and response to our product. As a card, we will consistently look for new ways to innovate and bring greater rewards to users and dealers. However, we’re already seeing substantial progress in building out our ecosystem and connecting our platform to new dealership groups, and we’re really excited about expanding that even further. It’s critical that we can connect to consumers at the most important moments, and that’s when they’re at the dealer.”
“We have also developed an ROI calculator that helps dealers sell more cars or products. People have options for where they buy and service their car, but if, by using our calculator and offering our card, a dealer can show direct savings, the technology can help them create loyalty.”
Significant Milestones
What have been some of the company’s most significant milestones? Zachs cited:
“We actually launched the Fasten Rewards Visa Card last month, so getting that into the hands of people and seeing the momentum has been super exciting.”
Customer Success Stories
When asking Zachs about customer success stories, he highlighted:
“Some of my favorite customers are those who bought their car years ago, purchased it used, or don’t live by their dealer, and think they can’t use Fasten. It doesn’t matter where or when you bought the car, or who you bought it from. People can sign up, get connected to dealership groups, and start to get rewarded for their auto purchases.”
Revenue
When asking Zachs about the company’s revenue details, he revealed:
“We’re not disclosing revenue, but we’ve seen an amazing reaction from dealerships and consumers since we’ve launched.”
Total Addressable Market
What total addressable market (TAM) size is the company pursuing? Zachs assessed:
“There are 100m drivers in America who fall under Fasten’s credit band. When you combine that with the fact auto spend is 5% of US GDP, we believe that there is an enormous market to pursue.”
“Whether you are an auto enthusiast or just driving to work and your kids to school, this card is for you.”
Differentiation From The Competition
What differentiates the company from its competition? Zachs affirmed:
“Obviously, there are a lot of loyalty programs out there, but none in the auto industry. This is a really important differentiator for us. And we’re doing it in a way that really benefits everyone – the dealer and the driver.”
“There are OEM cards out there today, but they are tied to a specific brand of car, and have limited rewards and redemption models. We want to open up the opportunities for consumers, offering broad rewards for all auto spend, specifically for loans and leases, two of the largest payments. And therefore allowing people to choose their next vehicle even if they want a different brand of car.”
Future Company Goals
What are some of the company’s future goals? Zachs emphasized:
“Right now we are working on building out our dealer network and our user base.”
Additional Thoughts
Any other topics you would like to discuss? Zachs concluded:
“It’s under-appreciated just how challenging it is for dealership groups to build loyalty with their customers. Most people buy their car and get it serviced at other locations. But dealers really need to start to build those repeat customers, especially given all the new economic challenges the industry is facing.”
“Fasten lets dealers create those important connections with customers. They can offer perks like additional Fasten points on certain services to get them to come back. That’s important, as estimates show that 74% of people who service their car at a dealership purchase their next car there, that number drops down to 35% if they go somewhere else for their maintenance. By increasing loyalty, dealers can also increase CLTV. Statistics back that up.”
