LENDING Works has partnered with credit reference start-up Credit Kudos to provide its Open Banking infrastructure.
The peer-to-peer consumer lender said on Monday that its borrowers will use Credit Kudos to automate the process of applying for credit by removing the need to manually fill out forms and upload documents.
Credit Kudos will have access to a borrower’s credit history so income and credit worthiness can be demonstrated instantly, making it easier and faster to apply and be accepted for loans with Lending Works.
Read more: P2P lenders gear up for Open Banking launch
“With Open Banking, customers now have control of their own financial data,” Freddy Kelly, chief executive of Credit Kudos, said.
“Lending Works and Credit Kudos are using Open Banking to provide borrowers with a faster and easier way to verify income and demonstrate creditworthiness.
“We’re excited to partner with Lending Works, who are as technology-obsessed as we are at Credit Kudos, to raise the bar for customer experience in the lending industry.”
Currently, approximately 60 per cent of Lending Works’ borrowers are provided with instant and automated credit decisions, whereas the remaining 40 per cent require some manual processes, said Nick Harding (pictured), chief executive of Lending Works.
By adopting Open Banking capabilities, Lending Works expects to increase that figure to up to 90 per cent of credit decisions being fully automated.
“We are fanatical about creating best-in-market customer experience in consumer credit,” Harding said.
“Open Banking provides us with an opportunity to significantly enhance the ease and speed of applying for a loan, while simultaneously improving our credit underwriting process.
“We are thrilled to be able to further enhance the positive experience customers have when applying for a Lending Works loan.”