ASX-listed Beforepay Group launches new personal loan product
Beforepay Group Limited have announced the introduction of its third lending product, the Beforepay Personal Loan, which has now launched.
The Personal Loan complements the existing Pay Advance and Tax Refund Advance, supporting customers looking for larger sums or to borrow for longer periods of time.
This new offering initially provides eligible customers with loans from $2,001 up to $3,000 for a term of up to 3 months, with the potential for higher limits and longer durations in the future.
The Personal Loan has initially been priced with a 5% fee and a 1.5% monthly interest charge.
Phased Launch
The Personal Loan is launching in phases, initially issuing up to 500 loans to existing customers to validate the performance of the Personal Loan and identify opportunities for risk-model enhancements. The company will be progressively enabling the option to apply for a Personal Loan in the app experience of current users. Expansion to offer the Personal Loan to new customers is expected at the right time.
In line with the Pay Advance product, the company is using its credit risk models to assess borrower risk and limits for the Personal Loan, underpinned by the companyʼs capabilities in working with large datasets, alternative data, machine learning, and AI. Beforepay Group continues to invest in its credit-risk analytics and to enhance its use of emerging data techniques.
Regulatory Compliance
The Personal Loan is a regulated credit product under the National Consumer Credit Protection Act 2009, and is the first product offered under the Australian Credit Licence (ACL) which was received in August 2024. This step underscores Beforepay Groupʼs ongoing commitment to providing compliant and secure financial services, in alignment with its mission-driven ethos.
Platform Expansion
The team at Beforepay Group has been focusing on enhancing and expanding its lending platform to support multiple loan products with a range of structures and terms, while continuing to improve the customer experience. The company will continue to focus on providing quick, efficient loan options digitally to Australians across its entire product suite.
Jamie Twiss, CEO of Beforepay Group, commented, “The launch of our Personal Loan marks a significant milestone in our journey to provide additional safe and affordable financial products. Our advanced capabilities in data science, machine learning, and AI enable us to support tailored lending products as we grow. Weʼre excited about this new product and its potential to enhance financial inclusion in Australia.”
