Metrics Monthly | November 2019 | UK Edition

Affordable credit challenge

LendingMetrics partners up with Fair For You and EML Payments as part of the Affordable Credit Challenge

Six partnerships between fintechs and communi- ty lenders have been awarded £150,000 each in funding as part of a challenge

Research conducted as part of the formation of this challenge found that over 8 million people use credit to pay for everyday household expenses with eight in ten people believing that more needs to be done to provide alternatives to high-cost credit providers by making affordable credit more available to those who need it. Understanding that there is consider- able financial pressure in low income

families during school holidays, Fair For You is proposing to use their prize funding to offer a “revolving loan facil- ity to provide buffer credit specifical- ly for an additional frozen food shop in school holidays, when low income households often using high cost short term credit to cover spikes in grocery costs when children do not have school dinners provided.” This will see smaller loans, with credit under £100, available to more people.

run by Nesta Challenges in partnership with HMTreasury with the aim to make credit more accessible and affordable.

10 | Metrics Monthly

November 2019 | UK Edition

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