SYDNEY, Jan. 17, 2023 /PRNewswire/ — Digital lender and non-bank challenger MONEYME (ASX: MME) has officially launched its new credit score product that has already seen over 37,000 customers swarming to discover their score during a beta trial, despite zero marketing of the product so far.
The MONEYME Credit Score product is available through the MONEYME app, leverages credit file data from global credit reporting bureau Experian, and was built on MONEYME’s proprietary technology platform, Horizon.
It allows users to check their credit score for free (without affecting their score), view what’s on their credit file and how it’s impacting their score, and track how their score is changing over time.
A customer survey performed by the Group last year revealed that many Australians are still in the dark when it comes to their credit scores.
Only 32.8 percent of the 1,596 respondents knew their credit score before being encouraged to check it, and 61 percent were surprised by the result once they received their score.
Yet, 97.7 percent said they thought it was important for Australians to know their credit score, and recent data shows consumers’ awareness is increasing.
Credit bureau Experian saw a 45 percent increase in consumers checking their Experian credit reports in the 12 months ending 31 Aug 2022, while credit enquiries across the entire 18 million Experian bureau population had also increased 5 percent in the same period.
This figure rises to 18 percent for customers also monitoring their credit report, which could suggest customers actively checking their credit score are more likely to apply for a credit product.
With an app-first product that allows users to check and keep track of their credit score from the palm of their hand, MONEYME hopes to encourage more Australians to learn how their financial habits impact their ability to access credit in the future.
Clayton Howes, CEO & Managing Director of MONEYME said: "The majority of our credit score users to date fall in an age group that is only now building up their credit profile, or who might be considering taking out a loan on a car or even entering the property market for the first time. We want this group to be in the best possible financial position when they apply for these loans. We are pleased to now offer a free credit score service to help Australians get a better understanding of what impacts their credit score, and ultimately their ability to access credit in the future."
A survey sent to MONEYME’s beta product users revealed that 94 percent found it helpful to know their score and understand how to improve it, while 40 percent found it "extremely" helpful.
The vast majority (93 percent) said they checked their score at least every few months and did so because they wanted to apply for a loan (31 percent), were worried about their debt (24 percent), or wanted to know how they compared to others (17 percent).
The average age of the 37,000+ users is currently 33 years old. There is a 60:40 percent split between male and female customers, and the median credit score of users is 741, which Experian labels as "Very Good" on its site.
MONEYME’s Credit Score product provides users with the following insights on top of the actual score:
- The age of your credit file
- Past and current credit accounts, e.g. loans and credit cards
- Any credit applications you have made
- Your repayment history for credit cards or loans
- Any negative events that are listed on your credit file, e.g. missed payments and defaults
- How your score has moved over time
- How likely you are to be approved for MONEYME’s credit products
- Tips on how to improve your score
MONEYME is a leading Australian disruptor using technology to become the #1 challenger to the major banks.
With a focus on innovation, it funds credit approved ambitious people with the advantage of market-leading speed and automated customer experiences. Leveraging AI and advanced cloud-based technology, it offers highly automated credit products across personal, auto and real estate finance.
The Group’s core brands MONEYME and SocietyOne reflect digital-first experiences that meet, and exceed, the expectations of ‘Generation Now’.
MONEYME Limited is listed on the ASX and the Group includes licensed and regulated credit and financial services providers operating in Australia.
For more information, visit moneyme.com.au or investors.moneyme.com.au