Fair for You

Challenge​

Many people across the UK find it hard to get affordable credit. Without it, they can struggle to buy basic household appliances such as cookers and fridge-freezers, leaving them with little choice other than to turn to high-cost lenders. Since many people without credit access are likely to have low financial resilience and poor credit histories. This often means they have to juggle repayments and decide which debts to prioritise. ​

​Approach​

Fair for You was set up in 2015 and is now the leading not-for-profit responsible lender. The company has scoped, designed and delivered a fintech solution that helps lower-income families who can’t access mainstream credit to purchase household goods. Customers can choose to buy through the Fair for You website, order directly from the supplier, or pay using an affordable Fair for You loan. It offers these customers an alternative model that treats them with dignity and respect, and provides a tool to help lift them out of poverty, unlike high-cost ‘rent to own’ stores. ​

Fair for You received investment from Big Issue Invest's Social Enterprise Investment Fund II and Social Investment Scotland's Social Growth Fund, both of which Big Society Capital invested in. The investments enabled Fair for You to grow their business. The revenue model relies on customers repaying their loans with interest. It’s been tested with customers to make sure it meets their needs, pricing loans substantially cheaper than commercial alternatives. ​

​Impact​

Fair for You wants to expand its product range beyond household essentials to create a virtual high street, and give customers real choice by offering alternatives to high-cost lenders. It’s recently launched an automated decision-making system to make the loan process more efficient, and is concentrating on maintaining the high quality of delivery and attention to customer needs as it continues to scale. The company was named Firm of the Year and Best Loan Provider (lending <£2.5k) in the 2020 Consumer Credit Awards, based on 19,000 detailed reviews. It’s the third year in a row it’s won the Firm of the Year award.