Wagestream, a London-based fintech service aimed at leveling the financial playing field for shift and frontline workers, has acquired crosstown credit card and credit building service Keebo. The terms of the deal remain undisclosed.
Furthering Wagestream’s goal of improving the financial peace of mind for shift and frontline workers, the Keebo acquisition will see that latter’s product, open Bbanking underwriting tech, the entire team, including CEO and founder, Michael Vanaselja, become part of the Wagestream Group.
Backed by Breega, Connect Ventures and grants from the UK Government’s Smart Innovation programmes, Keebo was the UK’s first credit card company using open backing data that was authorised to approve customers based on a wider financial picture than just a credit score.
As of April 2022, according to an analysis from PwC and TotallyMoney, 20.2 million individuals in the UK are “financially under-served”. What this translates to is that these individuals are left out in the cold when it comes to high-street lenders due to limited credit history, blemishes on their credit file, or low or volatile incomes. Self-employed, frontline and/or shift workers often find themselves in this category.
Keebo steps into the picture by helping these individuals obtain credit based on a holistic view of their finances, make more informed decisions with immediate and transparent feedback in regard to their debts, and improve their credit over time through a points-based credit limit builder.
Keebo founder and CEO Michael Vanaselja further explains:
“Keebo set out to serve the millions of people who are unfairly denied traditional financial products and services - by helping them get access to credit and build their credit over time.
Now, we’ll be able to bring our solution to even more people with Wagestream and reach millions of frontline workers who are underserved by traditional financial institutions. The mission overlap is huge, and we can’t wait to help even more people build towards better financial futures.”
Through the acquisition, Keebo’s offer will be integrated into Wagestream’s services, an app used by more than three million individuals via employers including Bupa, Asda, Pizza Express and the NHS.
On the acquisition Wagestream co-founder and CEO Peter Briffett shared:
“Many UK frontline workers are locked out of fairer financial services because of low credit scores.
With a phenomenal team and a product that’s already making credit fair and accessible for underserved households, joining forces with Keebo is another great example of how we can make work more rewarding for frontline workers with workplace finance. By offering Wagestream, more than 1,000 employers now subsidise fairer financial services for their people, and, soon, help with building up a better credit history will be yet another benefit they can offer.”
Lead image via Wagestream.