CreditLadder: improving finhealth with open banking
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CreditLadder is a UK rent reporting service and the first company in the UK to enable a tenant’s monthly rent payments to contribute to improving their credit score.
Using CreditLadder’s service, their users can improve their credit score over time, enabling them to access better rates on products such as credit cards, loans and utilities.
The challenge
A crucial feature of CreditLadder’s service is the ability to verify a person's identity and rent payments and report them into the UK’s biggest credit reference agencies, namely Experian, Equifax and TransUnion – CredditLadder is the first and only UK company to offer this. To achieve this, the team needed to be able to verify a user's bank account and transaction history.
Traditional methods, such as using paper bank statements, were time-consuming and required manual data entry. In contrast, existing digital techniques, such as screen scraping, were unreliable and not as safe for consumers, requiring users to share bank credentials. The CreditLadder team knew they needed an open banking partner to quickly and securely access financial data, so they turned to TrueLayer.
“We decided to work with TrueLayer based on the quality of the team and the capability they possess. The Data API instantly provided us with a seamless and safe way to verify account ownership and transaction history. This helps us to onboard new customers quickly while they are most engaged.
Sheraz Dar, CEO
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The solution
The team decided to use the Data API to give users the ability to share identity, balance, and transaction data securely. Our products are 100% API based and PSD2 compliant, which means users authenticate directly with their bank, and financial data is instantly accessible in a machine-readable format. TrueLayer does not store credentials, and data is encrypted at rest, removing the risk of data breach and ensuring user data is safe.
The results
Since integrating with TrueLayer, CreditLadder is able to verify transaction data in seconds to help power their rent reporting product. The team has gone from strength to strength, enabling tenants to gain access to better financial deals and helping them step onto the property ladder.
CreditLadder remains the first and biggest rent reporting company in the UK.
“We believe in working with best in class partners to help build a strong and sustainable business. The support from TrueLayer in a space that has seen continual change over the last 2–3 years has been invaluable.
Sheraz Dar, CEO