Moneyline is a not-for-profit organisation, offering financial services to some of the lowest income households in the UK. Since 2002, they have issued over £100m in loans to 55,000 customers, and have opened 28,000 savings accounts with over £13.5m in savings deposited.
With funding from Aviva Foundation, Moneyline will be trialling a new payment method for a segment of their customers who are often financially excluded, for whom Direct Debits often don’t work.
They are planning to give customers more control over their finances by offering them the ability to make variable repayments on their loans. This involves providing an interest calculator, allowing them to see how much money they could save by making more frequent, small payments.
Giving organisations more insight to flexible ways to pay should open the door to offering their products to a wider group of people and in turn reduce financial exclusion.