The UK non-standard credit market is made up of around 12 million people who, for a variety of reasons, from relatively low income to a poor credit history, are not well served by the mainstream credit market’s products and services.
Typically, Provident Financial's customers are hard-working people living on modest incomes. They tend to borrow less than mainstream credit market customers, but they need it to be easy to make repayments and they like the flexibility to adjust those payments if their circumstances change.
What our customers look for
- Smaller sums – typically less than a mainstream provider would lend.
- High levels of contact with their lender – our customers like someone to talk to about their loan.
- Understanding – our customers usually have little leeway in their income, so, if they experience problems during the term of their loan, want to talk to someone who understands their situation and can offer a solution. With some of our products this can even mean the ability to reschedule repayments at no extra cost to the customer whatsoever.
The value added
The household income of most Vanquis Bank customers is between £20,000 and £35,000 a year. They use this credit card in a similar way to users of mainstream cards, on the high street, and for internet shopping. Growth in online shopping and changes in merchants’ payment policies have made everyday tasks increasingly difficult without a payment card. The card therefore has a high utility value and offers useful additional consumer protection – it is often the only credit card they have.
Provident home credit customers are not always the main breadwinners, but they often control the household budget. The household income is between £10,000 and £15,000 and tends to be from hourly-paid or part-time casual work rather than from salaried employment, and just under half of our customers are in receipt of non-universal benefits. Home credit customers value the discipline of the weekly visit and appreciate having flexibility on repayments.
Satsuma customers are in more structured employment than Provident home credit customers and have a household income of between £10,000 and £15,000.
Moneybarn customers are very similar to Vanquis Bank customers. They have a thin or impaired credit history and often find it difficult to access credit from more prime lenders. They have an average age of between 35 and 45 years old, are employed or self-employed and have an income level around the national average of between £20,000 and £30,000. They are more likely to be male than female.
We maintain frequent contact with all our customers through experienced local Customer Experience Managers and staff at our dedicated UK-based call centres, many with years of experience in serving non-standard customers with credit products.
We have been maintaining close contact with our customers since 1880, and being specialists in our sector enables us to provide the high degree of simplicity and certainty our customers prefer and expect. As a result, we have enviable levels of customer satisfaction.