Fast-growing credit technology platform Fintern has secured £8 million of fresh capital in its latest funding round. 

The investment, which brings the company’s total capital raised to £40m, will help drive expansion plans across the UK and launch its first B2B partnerships.

Led by Hambro Perks, the round included equity investment from Fintern’s primary debt provider, Varengold Bank, and other high-net-worth individuals. 

London firm Fintern’s mission is to expand access to affordable credit. It says there is more data available today than ever before, yet most lenders still base their decisions on a credit scoring system developed in the 1950s. This leaves over 15m people in the UK facing unnecessarily high borrowing costs and unsuitable credit products. 

Since launching its consumer lending product in March 2021, Fintern has processed more than 50,000 loan applications, utilising open banking to get a true picture of each applicant’s unique financial situation. 

By combining this data with several other sources, Fintern can base lending decisions on what someone can afford to borrow, rather than relying on an incomplete snapshot of the past.

It says that 60% of its customers would not have been approved for their loans had they been assessed by traditional methods.

Consumer lending model

“Today marks an important milestone for Fintern in our mission to make consumer lending accessible and fair,” said CEO and co-founder Gerald Chappell. 

“Our next-generation consumer credit technology is delivering significantly improved outcomes for consumers, and I’m excited to see this impact through our own lending, and through the technology we provide to our partners.”


George Davies, partner at Hambro Perks, said: “Not only does Fintern provide fair lending products for consumers in a way that is crucial and missing in our society, but they have built a platform that is truly effective and unparallelled in the market. 

“We are enthusiastic about Fintern’s innovative product and are confident that its technology has the opportunity to change the industry dynamics for the better.”

Founder’s frustration

Michelle He, COO and co-founder at Fintern, said: “I know first-hand what it means to be denied access to vital financial support. When I first moved to the UK, I was unable to get a loan despite my full-time employment. 

“It was incredibly frustrating and exposed many of the issues within the current lending system. After working within this system with Gerald, we decided we were in a unique position to change things for the better. 

“As we emerge from the pandemic, Fintern is now more relevant than ever for those who seek financial stability and support. We’ve achieved a lot, but there is more to be done, and I am grateful to be part of a team who work tirelessly to make our product even better.”