Financial exclusion impacts billions of people around the world, including younger people who are thin file – a credit report of someone with little or no credit history – or new to credit. As the UK economy works hard to bounce back from the pandemic, British lenders are now expecting a rise in unsecured lending.
As more people apply for credit, inevitably, more people will be declined.
In light of this, LOQBOX and ClearScore have partnered together to help UK consumers build a credit history, support them in getting a head start on credit, and secure a responsible financial future.
The integration of LOQBOX into ClearScore Build will bring benefits to hundreds of thousands of UK consumers. The partnership will allow customers to view their credit-building progress, learn how to build a healthy credit score, and receive updates all in one place.
Speaking on the partnership, LOQBOX Co-Founder and Co-CEO Gregor Mowat said: “This world-first partnership and integration is a huge step towards ending financial exclusion. Certainly, since the pandemic, we have seen more and more young people who have suffered from a poor or non-existent credit score, preventing them from participating fairly in the financial world.
“We believe ClearScoreXLOQBOX will help thousands of people who want to get a head start on building a credit history and to eventually become financially included.”
Adding to this, Co-Founder and CEO of ClearScore UK, Justin Basini said: “We are very excited about ClearScore x LOQBOX which is designed to help everyone, no matter what their circumstances, achieve greater financial wellbeing. We!ve always helped our users to improve their credit report and score but we wanted to go further. The reality for millions of people is that they are locked out of mainstream credit products, either because they don!t have any credit history or have made some mistakes in the past.”
LOQBOX members who successfully completed a 6 month period saw their credit score increase by 34 points on average. Members typically then go on to perform better than their peers with traditional credit products and in turn, are rewarded by saving thousands of pounds over their financial lives.
Co-Founder and Co-CEO of LOQBOX, Tom Eyre concluded with: “We wanted to work with ClearScore to provide a way that a person could simply and easily, without traditional borrowing, actually prove in a relatively short period of time that they were creditworthy and build a better future.
“We are proud to partner with ClearScore, and look forward to helping thousands more people to become financially included.”