Tandem is currently testing mortgage products which could allow people to buy a house without the need for traditional systems, such as credit ratings.
In an exclusive interview with Specialist Banking, Ricky Knox, co-founder and CEO at Tandem, stated that this was currently being tested by staff.
“Generally, it’s difficult to get a house and we’d love to make it easier for people to get a house without the traditional [system].
“But what we’re looking at is using exactly the same intelligence that we use to analyse your aggregated spend.
“…And while the banks go: ‘Oh he’s a bad bet because he doesn’t have a credit record, doesn’t have this, doesn’t have a big enough deposit’ or whatever it is, we’ll look at you and go: ‘Actually, we’re willing to underwrite this guy or girl because they’ve got [a] really healthy [financial fitness score] … they’re putting money aside every month.’
"So, for example, with autosavings, one of the rewards that we are looking to launch in the future will be if you consistently saved more than X for X months, we’ll actually offer you a mortgage just off the back of that, forget your credit rating and everything else."
Ricky also added that Tandem was looking to expand into western Europe as well as multiple Asian countries.
“We’re definitely going to be expanding into western Europe next year … we’ll [probably] do one country first and then we’ll do the whole of the EU, but we obviously need to get the right licensing basis first.
“Depending on how the Hong Kong piece goes, within six months, probably, we’ll be looking at other Asian markets.
“…We think Asia is where the growth is at, and so we’re really excited about expanding into some of these developing Asian markets.
“Not just Hong Kong, but Indonesia, China, Malaysia and Taiwan.”
Amendment: 28th November 2018
An earlier version of this article was headlined: Tandem testing mortgages as an autosavings reward. We have since added that this is for trusted customers.
An earlier version of this article also noted that Tandem hadn’t launched the mortgage offer as an autosavings reward yet. This has been changed to clarify it is looking to launch this reward in the future.
SIGN UP TO OUR NEWSLETTER TO RECEIVE MORE NEWS LIKE THIS STORY
Falcon Private Bank to discontinue UK operations
Falcon Private Bank has decided to discontinue its UK operations and sell the assets of its London-based subsidiary, Falcon Private Wealth Ltd, to Dolfin Financial (UK) Ltd...
Revolut CEO calls for specialised tech visas
Nik Storonsky, CEO at Revolut (pictured above), has called on the UK government to introduce specialised visas for technology professionals...
Aldermore appoints new head of intermediary distribution
Aldermore has appointed Nick Parker (pictured above) as its new head of intermediary distribution within its retail mortgage business...
Ipswich Building Society to develop enhanced savings proposition over next two years
Ipswich Building Society has confirmed that it will develop an enhanced savings proposition over the next two years, with a focus on both digital and face-to-face services...
BTR: Tenant poacher or happy bedfellow?
The sand has been shifting so much under the feet of private landlords that many may believe they are becoming an endangered species...
Paragon bolsters asset finance team
Paragon has appointed Jan Greenhalgh as head of new business within its asset finance division...
Gatehouse Bank appoints new director
Gatehouse Bank has appointed Roger Evans (pictured above) as its new director of home finance distribution...
Rob Lankey to join Shawbrook as director of commercial investment
Shawbrook has announced that Rob Lankey (pictured above) will join as its new director of commercial investment at the end of February...
Secure Trust Bank ceases new mortgage lending
Secure Trust Bank has revealed that it has ceased new mortgage lending...
Starling Bank announces three new partnerships
Starling Bank has expanded its banking services offering with the introduction of three new partners...
Mortgage advisers forecast almost no growth in business levels in Q1
Mortgage advisers expect business growth of only 0.1% in in Q1 2019, according to recent research...