United Kingdom lender Oakam is using the concept of gamification to help people enjoy consumer finance. Oakam Grow uses behavioral science to encourage healthy credit habits.
“The UK alone is home to 12 million consumers who are underserved by traditional lenders, and digital transformation is sorely needed to expand access to fair credit and bring more people into the financial system,” Oakam founder and CEO Frederic Nze said. “Oakam’s digitally-led strategy, and the recent addition of Oakam Grow, helps meet this need while providing us with data-driven insights that empower better underwriting decisions that look beyond the traditional credit score.”
Through the use of social currency theory, which allows users to benefit from positive behavior, Oakam hopes to attract more users. Those users earn points when making payments and referring friends. Points may be redeemed on repayments, cash back, store vouchers, reduced interest rates on future loans, or to serve as loan references for others.