Fairer Finance and Sideways launch 'michelin star' system for banks

Customer trust is no longer a 'soft' metric; it is becoming a standardized rating that could influence where shoppers choose to use credit. A new partnership between Fairer Finance and consultancy Sideways has launched a 'Michelin Star' style rating system for lenders and retail banks. This system uses behavioral science to identify where financial institutions are confusing customers or creating friction that leads to complaints. For retailers, this matters because the reputation of your financing partner directly reflects on your brand. If a lender makes it difficult for a customer to understand their repayment terms or resolve an issue, the customer blames the store where they made the purchase, not just the bank. This initiative highlights a shift toward extreme transparency in consumer lending. As regulators globally crack down on 'dark patterns'—design choices that trick users into spending more—this rating system provides a roadmap for lenders to clean up their interfaces. For business owners, this is a signal to vet your financing partners not just on their approval rates, but on their transparency and customer satisfaction scores. Working with a high-rated lender can reduce the volume of post-purchase support calls your staff has to handle and increase the likelihood of repeat business from happy, informed shoppers.

Source: Finextra — Lending

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