Latest news with #ClearScoreGroup
Finextra
5 days ago
- Business
- Finextra
D•One delivers open banking connectivity to JaJa Finance
D•One, the open banking services business from The ClearScore Group, has announced a partnership with Jaja Finance to provide the insights-driven lender with open banking connectivity and transaction categorisation intelligence. 0 Jaja is the latest in a long line of progressive lenders leveraging alternative data to make responsible credit offers to consumers who would otherwise be excluded from mainstream lending. The partnership will enable Jaja to enhance financial inclusion by using data beyond traditional credit decisioning methods, offering a comprehensive view of a customer's financial health. This approach will ensure better outcomes for its customers. D•One offers Jaja the ability to efficiently integrate consumers' banking data into mainstream lending decisions. This data can be used to power smarter decisions, with enhanced accuracy leading to better outcomes for credit applicants and for lenders. D•One will also partner with Jaja to deliver more accurate income verification, risk insights, and affordability assessments. Tim Kelleway, Managing Director at D•One, said: 'Jaja is leveraging our enriched dataset to better understand financial behaviours and bring about more inclusive and sustainable lending decisions. This past year, we've seen a huge engagement with our proposition, and we've signed up some of the UK's most successful fintechs. The work we are doing here with our lender partners is undoubtedly changing the shape of credit decisioning in the UK, for the good of lenders and consumers.' Francesco Di Costanzo, Chief Executive Officer at Jaja, said: "Partnering with D•One to enhance our open banking offering is not just a strategic move for Jaja; it's a commitment to offering our customers simple, fair and efficient credit. This partnership is the next step in demonstrating our dedication to innovation and inclusivity. 'At Jaja, we continuously explore new data sources and innovative approaches to better serve our customers. Leveraging D•One's capabilities with our advanced analytics and risk models marks another milestone in transforming credit analytics for their benefit.' D•One uses a unique combination of extensive open banking records and credit expertise to drive immediate value for its lender clients. This includes identifying positive and negative risk indicators otherwise obfuscated in the transaction data, thereby 'splitting' the risk level of applicants and enabling up to a 60% reduction in arrears with no reduction in lending volume. As a result, it has helped participating lenders expand their risk decisioning beyond a reliance on credit reference agencies alone, enabling them to lend fairly and responsibly to financially excluded segments of society at a time where living costs have been escalating rapidly. In the last 12 months D•One's enriched open banking data has enabled approximately 120,000 consumers to receive an affordable loan that would otherwise have been declined.
Yahoo
28-02-2025
- Business
- Yahoo
ClearScore secures $38m to undertake growth initiatives
ClearScore Group, a fintech based in London, has obtained €36.1m ($37.8m) in debt financing from HSBC Innovation Banking UK. This financing will help bolster the company's growth initiatives across both domestic and international markets. ClearScore and HSBC Innovation Banking UK, a part of HSBC, have been collaborating since 2017, with the bank playing a significant role in ClearScore's global expansion over the last eight years. This latest round of funding is a continuation of their partnership, aimed at furthering ClearScore's reach and product offerings. ClearScore Group chief financial officer Brian Cole said: 'As a profitable fintech operating at global scale, we have options when it comes to choosing how to invest for the next ten years of growth. 'This funding allows us to expand the range products we can offer our users and the channels through which we can reach them. HSBC Innovation Banking has been a key strategic partner to enable us to scale at pace and become one of the UK's leading fintech brands.' Founded in 2015, ClearScore launched with an app designed to enhance financial wellbeing for users. The app allows individuals to check their credit score and report, gain personalised financial insights, and access customised credit deals without affecting their credit rating. The platform also features tools such as 'Credit Health' for a detailed financial overview and 'Protect' for dark web monitoring to prevent identity theft. Since its inception, the group has experienced rapid growth, now serving over 24 million users across five countries, including the UK, South Africa, Australia, Canada, and New Zealand. ClearScore has also diversified its services with DriveScore, a data-driven marketplace, and D•One, an open banking service tailored for credit marketplaces. Recently, ClearScore acquired Aro Finance, a Manchester-based credit marketplace supplier. This deal has expanded ClearScore's secured loan offerings and marked its entry into embedded finance. In 2022, the company acquired Moneyboard, an online personal financial management service. HSBC Innovation Banking UK FinTech Coverage director Nick Conway said: 'ClearScore has been a valued long-term partner, and we're thrilled to have been able to support their growth with this financing. 'We look forward to continuing our collaboration as they continue to transform the way people manage their financial health. This is a great example of how HSBC Innovation Banking helps our UK FinTech clients achieve their ambitions, scale and build world class, innovation driven businesses.' In February 2024, ClearScore released a whitepaper that stated the UK non-prime lending market contracted by more than a third (34%) since 2019, while unsecured loans from unregulated lenders have risen significantly. "ClearScore secures $38m to undertake growth initiatives" was originally created and published by Retail Banker International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
