Neyber is a UK financial technology company that grants loans that can be repaid directly from the borrower´s salary. Here at fintechreviews.co.uk we report that Neyber has secured £21m in funding from a collection of interesting sources.
Neyber was founded by 2 former Goldman Sachs executives, Martin Ljaha and Monica Kalia, who left Goldman Sachs about 5 years ago. The investment came from Indian investment group, the Wadhawan Group. They invest a lot in UK fintech, leading to this cash injection for Neyber.
The company provides loans for around 5,000 police officers up and down the UK. It has loaned out more than £65 million in just over two and half years, helping thousands to get on the property ladder. The Police Mutual was an initial investor in Neyber and has provided the capital to fund loans for it´s officers nationwide.
Neyber´s plans for the future
Neyber plans to expand it´s offerings by combining it´s own savings product with loans and tax-free ISAs that it could offer employees who want to earn larger returns on their cash.
The company´s interest rates on loans come in 3 different bands, depending on your financial history;
- ´Great´charging – just 4.9% annual interest;
- ´Good´charging – 6.9% annual interest;
- ´ OK´charging – 9.9% annual interest.
Fintechreviews.co.uk reports that a higher amount of personal loans can be granted when using Neyber. This is because of the reliability of repayments when dealing directly with employers rather than relying on the borrower to pay the money back independently. When the borrower is linked more closely to the borrower´s employer, there is also more information about their income, reducing the uncertainty around repayments.
Neyber could save borrowers money on interest
Neyber claim that they can save an average borrower a fifth on their interest on debt repayments. Another service that Neyber offer is to educate their borrowers on the ways of finance, improving their interest rate from ´ok´ to ´good´ and even ´great´, getting them a better deal.
The company has claimed that on over 7,000 loans granted there have only been thirty defaults, and most of these are down to job loss and other unforeseen circumstances.
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