Elevate Announces Boost in Customer Financial Health (Wellness)
More than 140,000 customers improved their credit scores appreciably.
FORT WORTH, Texas--(BUSINESS WIRE)-- Elevate Credit, Inc. (“Elevate”), a leading tech-enabled provider of innovative and responsible online credit solutions for non-prime consumers, today announced major customer financial progression milestones. More than 140,000 customers of Elevate’s RISE product have seen an improvement in their credit scores. Additionally, more than 35,000 RISE customers are now eligible to receive at least a 50 percent reduction in their APR and more than 13,000 customers are eligible to receive RISE’s lowest rate. These milestones come as Elevate continues its commitment to customer financial health by reporting loan activity to two major credit bureaus, offering rates that can go down over time and by providing access to free financial wellness resources, such as free credit monitoring and financial literacy tools.
“Our goal is to put customers on a path to a brighter financial future,” said Tony Leopold, General Manager of RISE. “By reporting to major credit bureaus and rewarding customers in good standing with better rates, we aim to demonstrate for RISE customers the direct benefits that come with paying off their loans. While we obviously can’t take full credit for improved credit scores, we are excited to celebrate our customers’ successes.”
RISE is a state-licensed online, unsecured loan product designed with the needs of non-prime customers – those with credit scores below 700 – in mind. More than 160 million Americans are either non-prime or “credit invisibles,” without any credit score. These customers account for almost two-thirds of the U.S. population, yet are significantly underserved by the traditional financial industry.
RISE loans are originally priced to risk. Customers are eligible to receive 50 percent off of their rate on subsequent loans after 24 months of payments, eventually achieving a further reduction to 36 percent. Today, more than 35,000 customers have received or are eligible to receive a 50 percent rate reduction and more than 13,000 customers are eligible for an APR of 36 percent.
“Non-prime customers often need relief today, but they also want to make long-term financial progress,” said Ken Rees, CEO of Elevate. “We will continue to look for innovative solutions that solve customers’ immediate needs, but also help them build good credit and a better financial future. We call this philosophy, ‘Good today. Better tomorrow.’”
About the Data
Elevate worked with a major credit bureau to which it reports, gathering anonymized data on RISE customers. Elevate reviewed credit scores of customers from the customer acquisition point up to two quarters after loan completion.
The number of customers who have reached the necessary number of payments to receive a rate reduction was calculated by tabulating the number of accounts at the number of payments necessary.
- 24 months of payments are required to receive 50 percent off of the customer’s original APR
- 36 months of payments are required to reach 36 percent
Elevate (NYSE: ELVT) has originated $4.9 billion in credit to more than 1.8 million non-prime consumers to date and has saved its customers more than $2 billion versus the cost of payday loans. Its responsible, tech-enabled online credit solutions provide immediate relief to customers today and help them build a brighter financial future. The company is committed to rewarding borrowers’ good financial behavior with features like interest rates that can go down over time, free financial training and free credit monitoring. Elevate’s suite of groundbreaking credit products includes RISE, Elastic and Sunny. For more information, please visit http://www.elevate.com.
Source: Elevate Credit, Inc.