Fixing the broken credit market with Open Banking - Tim Rooney, Salad Money Artwork

Make An Impact Podcast

Make An Impact Podcast is the podcast for you if you're a social entrepreneur or purpose led business owner, or desire to be one, and want to be inspired to make a bigger impact on people and the planet.Heidi Fisher MBE talks to social entrepreneurs who have set up all kinds of enterprises, and finds out more about how they are successfully running their social enterprises, and making a positive impact in the world.In the conversations you'll find out what they are doing so you can develop your social enterprise using their practical tips, why they do what they do, the impact their social enterprise has and how they measure their impact, and more.There's also exclusive interviews with Heidi where she shares her tips and knowledge around social enterprise and impact measurement.#socialenterprise #impactmeasurement

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Make An Impact Podcast

Fixing the broken credit market with Open Banking - Tim Rooney, Salad Money

February 10, 2023 • Heidi Fisher • Season 6 • Episode 1

"Everyone has had a financial bump in the road at some point in their life, but I don't think they should be punished for that," say Tim Rooney, CEO of "Fintech for Good" Award-winner, Salad Money.

Salad is a social enterprise and community development finance institution (CDFI) which focuses on lending and tailored financial education, support and signposting for NHS and Public Sector workers.

Many people are punished by widespread use of credit scores to make decisions in the consumer credit market. Tim, formerly of Big Issue Invest, has been with Salad since it launched and describes "empirical evidence that credit scores don't work for people in the sub and near prime sector as defined by the credit scoring industry. "

A much better way of assessing affordability and appropriateness is through Open Banking, he explains. So what is Open Banking? How does it lead to all sorts of positive outcomes for far more applicants than Salad's customers alone? Tim explains.

With at research showing millions of people in the UK “risk being excluded from accessing affordable financial services because of flaws in credit scoring,” Salad Money is much needed. About 40% of its borrowers have a CCJ, but reliably repay their loans. Nearly half have children in their households. Many would automatically be turned down by lenders which use credit scores, leaving them with limited options when they need credit, which 9 out of 10 in the UK do from time to time. Tim goes through the why, who, how and even what next for Salad Money with Heidi.

What next?

Salad Money website: https://www.saladmoney.co.uk
Salad Money impact report: https://www.saladmoney.co.uk/news/salad-money-2021-2022-impact-report
More about Heidi's work at https://www.makeanimpactcic.co.uk

Hi, I’m Heidi Fisher, the host of the Make an Impact Podcast. I'm an impact measurement expert, passionate about helping you make a bigger impact in the world by maximising the impact your services have.

I can help you to measure, manage and communicate the impact you have better to funders, investors, commissioners and other stakeholders, and to systemise your data collection and analysis so that it frees up time and doesn’t become an additional burden.

I love helping you to measure social and economic impacts, including Social Return on Investment or value for money assessments, as part of understanding the change you make to peoples’ lives.

You can get in touch via LinkedIn or the website makeanimpactcic.co.uk if you’d like to find out more about working with me.