ClearScore has deepened its services with the launch of ‘Clearer’, which automatically repays people’s existing debt when taking out a debt consolidation loan.
The firm taps into the tech at a time when economic hardships have elevated and the importance of consumer flexibility has never been so crucial.
Andy Sleigh, UK CEO at ClearScore, said: “ClearScore’s new integrated debt repayment technology ensures that borrowers can tackle their outstanding debts with confidence, knowing that they can reduce their overall monthly outgoings.
“Traditional debt consolidation solutions come with inherent risk attached that borrowers may not choose to use funds to repay existing debt, but our automated repayment solution negates that risk and diverts funds directly to the existing lenders. This is a win-win for borrowers and lenders, whereby the reduced risk for lenders means they can charge lower interest rates, saving borrowers money in the long run.”
As a result of the technology, Clearer ensures that funds for debt consolidation go directly to paying off debt, thereby ensuring better outcomes for borrowers.
Gerald Chappell, CEO and Co-Founder of Abound, added: “We’re very proud to join ClearScore on its journey to make paying off debt as easy as possible. The combination of ClearScore’s automated debt repayment technology and Abound’s AI-led technology make it easier for borrowers to manage their debts and reduce the risk of them staying in debt for longer.
“We look forward to working with ClearScore as this consumer-focussed technology initiative has the potential to make a huge impact on debt consolidation and management.”
Detailing how the tech works, the group revealed that Clearer links a debt consolidation loan provider directly with a ClearScore user’s existing debt providers, which would typically be credit card, personal loan and car finance companies.
