Open Banking: Tully Helps Individual Customers Pay Back their Debts

FACTS

• The British FinTech Tully is getting ready to launch an Open Banking-based PFM tool for indebted people.

• Goals: enhance financial education, streamline PFM procedures, speed up debt repayments, help customers anticipate more to avoid over-indebtedness.
• Partner: OpenWrks.
• Tully will rely on Open Banking-derived opportunities to retrieve and analyse banking data, provide British customers with an overview of their financial situation and highlight customised repayment plans.
• This service is available online, for free. It lets each customer stay informed of their financial profile and be sent customised pieces of advice. Highly indebted customers can be provided flexible repayment plans adjusted each month to their specific financial situation. This plan factors in variable incomes and Tully helps the users pay back what they can afford every month based on their disposable income.

£30,965: amount owed by the average adult in the UK, or £482Bn combined total across the UK.

Cost of debt impact on UK employees’ physical and mental health: £51Bn

Source: Tully

CHALLENGES

• Addressing an emergency situation in the UK. According to Tully, 75% of all UK citizens facing some form of debt, and 50% experience stress symptoms.
• Implementing digital tools to better connect with customers who do not dare ask for financial help: 6 million potential targets for Tully.

MARKET PERSPECTIVE

• Tully is one of the seven FinTechs taking part in the “Open Banking for Good” (OB4G) initiative by Nationwide. This programme makes it possible to see the Open Banking trend not through a commercial lens, but rather as a means to achieve social purposes.
• Tully has just been granted a licence by the FCA, enabling them to scale up their existing partnerships with financial institutions, energy suppliers and local governmental players.