Together, the organisations will launch a new line of credit product that the parties believe will be more flexible and transparent than others in the market, and well-suited for US-based underbanked consumers. CURO and Meta expect to unveil the new, joint brand and a timeline for the pilot launch later in 2018.
Through the credit option expected to be launched by CURO and Meta, underbanked consumers would be able to access credit with a flexible timeline for repayment. These consumers would also be able to control their cost of borrowing through transparent fees that would apply only when credit is drawn. Estimates indicate 67 million adults are considered un- or underbanked. Many of these adults typically have poor credit ratings and, as such, have difficulty securing credit or loans — this product is expected to provide a responsible credit option for many of those consumers.
In the first three years of the agreement with CURO, Meta expects to hold up to USD 350 million in product receivables on its balance sheet. This agreement is part of Metas ongoing expansion into consumer lending, following the 2016 acquisition of a platform that provides a comprehensive solution for marketplace lending, including underwriting and loan management.
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