Driven by
social impact.
As a social enterprise, Familio is dedicated to improving the financial wellbeing of our community of borrowers. Our focus on reinvesting profit allows us to lend more to those who need it most, supporting them with financial support and creating lasting change.
We recognise our obligation to provide transparency and accountability in how we deliver benefit to our community and to demonstrate that we are making a positive difference for our borrowers. We aim to maintain open communication with our customers, our regulator, and any other interested parties, ensuring they are informed of our progress and achievements.
United Nations sustainable
development goals.
A key aspect of assessing our impact on the community involves aligning with the United Nations (UN) Sustainable Development Goals. You can find more information about these goals here. We actively contribute to several of these goals, working towards a shared vision of eradicating poverty, enhancing health and education, reducing inequality, and fostering economic growth.
By incorporating these global objectives into our operations, Familio is committed to not only supporting our community of borrowers but also contributing to a more sustainable and equitable future for all.
Championing
gender equality.
Gender equality is the 5th UN Sustainable Development Goal and an essential aspect of building a fair and inclusive society. While progress has been made in recent years, we still have a long way to go to achieve true gender equality. Familio is committed to playing our part in this endeavour by ensuring that both women and men have equal opportunities when it comes to loan approvals.
Our current lending data demonstrates our dedication to gender equality, with 48.2% of our loans going to female borrowers and 51.8% to male borrowers. By actively promoting gender equality in our lending practices, Familio contributes to a more equitable financial landscape and supports the ongoing pursuit of a more just and balanced society for all.
Tackling
inequality.
Reducing inequalities is another vital UN Sustainable Development Goal that Familio is dedicated to addressing. Our primary focus is on providing access to credit for individuals who have been excluded from mainstream lending. Often, these are the people who need financial support the most, and we believe it's essential to ensure their fair representation within the credit sector.
By using the Multiple Deprivation Index, we can analyse our loan book based on the demographics of borrowers across the UK, with 1 representing the most deprived areas and 10 representing the least deprived. Our data reveals that 75% of our loans are granted to borrowers living in the top 50% most deprived regions, while nearly 20% come from the top 10% most deprived areas.
Through our lending practices, Familio is committed to addressing financial disparities and providing access to credit for those who need it most, regardless of their location or background.
Preventing
poverty.
Poverty remains a pressing issue in today's society, exacerbated by challenges such as the Covid-19 pandemic and the cost of living crisis. At Familio, we strive to combat poverty by not only catering to individuals who need credit the most but also ensuring that our lending decisions are responsible and improve borrowers' financial situations.
Our approach is centred around affordability, using open banking data to inform decisions instead of solely relying on potentially outdated information from credit reference agencies. By incorporating a broader range of data, we can better evaluate borrowers' ability to repay loans and avoid worsening their financial circumstances.
The credit scores of our borrowers further illustrate our commitment to responsible lending. A significant 89% of our loan book consists of borrowers with a credit ranking of Fair or below, with over 20% holding a Very Poor credit score. Despite their less-than-perfect credit scores, our comprehensive affordability checks ensure that these customers can comfortably manage their loan repayments, promoting financial stability and working towards a future free from poverty.