Salad has launched our fifth affordable lending bond offer, aiming to close the gap in access to fair finance for millions of UK workers.
As a social enterprise set up to help people with limited access to mainstream credit, we receive tens of thousands of applications for a Salad loan every month.
But at least one in three UK adults has difficulty accessing mainstream credit, with traditional credit scoring failing those who are credit-invisible or have previously faced financial difficulties, trapping many into expensive debt cycles.
Salad is different to other lenders because we take an alternative approach to assessing an individual's affordability and their ability to repay a loan.
Rather than making a decision based on an individual’s credit score, Salad looks at applicants’ Open Banking transaction data to make fast, responsible affordability decisions.
Raising funds via Ethex allows us to increase our lending. Every pound raised in this bond offer will be used to lend to individuals who can afford to repay the loan, but are excluded from mainstream credit.
Craig Pennington, CEO, Salad, said:
“This is the fifth investment raise by Salad on the Ethex platform. Hundreds of investors have shown their confidence and trust in Salad. Many have invested multiple times. To them, we thank you. And to new investors, we welcome you. Every penny invested will go to help improve people's financial resilience.”
The new bond offer follows Salad’s being honoured with a King's Award for Enterprise for our outstanding achievement in innovation. We believe we are the first retail lender to achieve this recognition in the 60 year history of the Awards.
The affordable lending bond is now live on the direct impact investing platform, Ethex. Investors can support financial inclusion while targeting potential tax-free returns of 8% through the Ethex Innovative Finance ISA.
For more information on the bond offer and Salad’s impact, visit https://www.ethex.org.uk/invest/salad-v
