We’re delighted to announce a new £1m partnership with Experian, the data and technology company, as part of our consolidation lending pilot, to expand access to ReFi™ – a technology that makes debt consolidation more accessible for people in financially vulnerable circumstances.
ReFi™ enabled loans can help people take control of their finances before debt becomes unmanageable by combining multiple debts, typically totalling around £8,000, into a single, affordable loan. This can reduce monthly repayments by approximately £139 and reduce the overall amount someone would repay by more than £5,000 – easing financial pressure and improving long-term resilience.
Unlike traditional consolidation loans, ReFi™ settles existing debts directly with creditors, so lenders assess only the new loan – removing the issue of ‘double counting’ and improving access to credit.
Through this partnership, Fair4All Finance and Experian aim to increase access to affordable credit to those often excluded by mainstream lenders.
The initiative will scale by bringing additional lenders onto the Experian Marketplace, aiming to reach an initial 10,000 borrowers. Experian estimate this will help those borrowers save over £50 million in unnecessary interest charges.
‘We’re delighted to be working with Experian on their ReFi ™ technology and also with the lenders who use it to reach people in financially vulnerable circumstances. With millions of people financially excluded in the UK, fair and affordable credit is a vital safety net that many can’t access.
Debt consolidation lending in particular is a great solution for the cost of living crisis. It can reduce people’s monthly outgoings and also cut the amount of interest they have to pay overall. This direct settlement technology will ensure more people are able to access a consolidation loan, improve their creditworthiness and steer clear of problem debt.
We look forward to seeing how ReFi ™ can scale over the coming years and help people in financially vulnerable circumstances pay materially less for their existing debt.’
Kate Pender, CEO of Fair4All Finance
‘We’re committed to helping people take control of their finances. Technologies like ReFi™ make it possible for millions to pay less interest, simplify repayments, and ease financial pressure. Our partnership with Fair4All Finance also strengthens this mission, enabling us to reach more people who need affordable credit and real support.’
Edu Castro, Managing Director of Experian Consumer Services UK&I
ReFi™ is already making an impact, with over half of customers who apply through the Experian Marketplace having their debts automatically settled and receiving the remaining balance the same day.
Fair4All Finance are always keen to collaborate with new partners who are willing to try new ways of reaching more of the millions of people in financially vulnerable circumstances. Please do get in touch at hello@fair4allfinance.org.uk if you’d like to talk.
