Salad secures £1.5m investment to expand affordable credit across London

Salad, a major UK consumer lender, has secured a £1.5 million investment that will unlock up to £20 million in new lending capacity. This move is specifically designed to provide affordable credit to consumers who are often rejected by mainstream banks. For retailers and service providers, this signals a growing safety net for customers who might otherwise struggle to finance essential purchases. The funding comes through a partnership with the City Bridge Foundation and Fair4All Finance. It focuses on 'social impact' lending. This means the criteria for approval are often more holistic than traditional credit scores. As inflation and living costs keep pressure on consumer wallets, these types of Community Development Finance Institutions (CDFIs) are becoming vital players in the credit ecosystem. They help maintain consumer purchasing power when traditional lenders pull back. If your customer base includes lower-income households or those with 'thin' credit files, the expansion of lenders like Salad provides more options to close sales responsibly. It ensures that credit remains available to the workforce even during tighter economic cycles.

Source: Finextra — Lending

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