Challenger credit card provider, Keebo, has joined forces with global information services company, Experian, in a move to greatly improve access to credit for millions of underserved consumers.
According to research conducted by Experian last year, nearly 5.2 million people in the UK are virtually invisible to the financial system because there is insufficient information about their financial track record for organisations to make informed decisions. These ‘credit invisibles’ find it difficult to access mainstream financial services or have to pay a premium to do so.
Keebo supports freelancers, content creators, innovators and millions of other consumers in the rapidly growing ‘passion economy’1 who fall into the category of ‘credit invisibles’. Traditional financial institutions struggle to support the economic surge of creators, as many of these consumers have limited financial histories on which traditional lending decisions are made. As a result, some creators can find themselves forced into taking finance at high – and potentially unaffordable – interest rates. By using non-traditional data sources, such as open banking data, Keebo can offer their customers access to better credit.
Drawing on Experian’s credit risk, affordability, and compliance services, Keebo conducts robust credit decisioning and affordability checks. Alongside this, Experian’s categorisation technology helps Keebo leverage the power of open banking data for credit decisioning to help customers gain access to credit and build their credit overtime with real-time insights. Keebo’s mobile-only onboarding journey can be completed in a matter of mere minutes via the app.
Matthew Hallett, CTO at Keebo said: “We want to give creators access to lower interest, flexible credit, and provide them with the necessary information and resources to build the futures they want. We want to empower freelancers and content creators by unlocking the power of credit. By working with Experian, we are able to increase the number of people we can support, and ultimately help this growing economy build the lives they dream of”.
Paul Speirs, Managing Director Digital Consumer Information at Experian UK&I, said: “We are delighted to be working with Keebo to help more people build their credit. Financial inclusion is fundamental to our business. Our focus is on increasing access to financial services, improving financial literacy and boosting consumer confidence. Access to affordable credit opens the door to opportunities for people to transform their lives and build financial resilience.”