THINCATS has launched a new loan product that brings the human touch back into its lending decisions.
The peer-to-peer business platform said on Monday that traditional lenders typically use algorithms to make lending decisions, but its new generator product will combine data with allowing each region’s head of credit to sign off approvals or rejections.
This will apply to businesses looking for finance between £100,000 – £500,000.
Damon Walford (pictured), chief development officer at ThinCats, said a pilot scheme of the product with corporate finance brokers had been successful.
“Our priority is helping businesses grow and we are seeing a clear demand for loans worth up to £500,000,” he said.
“Unfortunately, many creditworthy businesses are being let down by lending decisions made by algorithms that often fail to take into an account how the business works and their growth potential.
“The pilot scheme was successful so we now have the opportunity to serve an even wider market.
“Importantly, our lending decisions are informed by our data, but made by people on the ground, who know the region and who work closely with local corporate finance brokers.
“Businesses ultimately want a process that is clear, competitive and delivers funding quickly.
“Generator will help many firms who are currently let down by the wider market.”