UK fintech Wagestream has secured a £300 million debt financing facility from Citi to expand its Workplace Loan offering among UK businesses.
The direct lending proposition was launched last year, offering business employees access to fee-free loans that are repaid through payroll deductions.
Wagestream says the new facility from Citi will power its plans to “expand the Workplace Loans product offering to its UK member base and continue investing in the product”.
The US banking giant has previously provided similar facilities to SME lender Iwoca and in-store consumer credit fintech Sunbit, among others.
“This credit facility will allow us to scale our offering dramatically, reaching more employees, with an alternative to the high interest loans offered by traditional financial institutions,” comments Wagestream co-founder Portman Wills.
The company’s Workplace Loan offering sits within a larger platform focused on employee financial wellness, featuring tools for budgeting and financial coaching.
The UK fintech currently reaches around three million employees through over 2,000 clients, processing more than 10 million transactions and £2.5 billion in payments per month through its platform.
Current backers include Better Society Capital, Balderton Capital, British Business Bank and Northzone, which previously invested £17.5 million into Wagestream in April last year.
Source: https://www.fintechfutures.com/
