Expanding Financial Inclusion: WebBank and BMG Money's Innovative Partnership

In a strategic move to broaden financial accessibility, Salt Lake City-based WebBank has joined forces with BMG Money to offer lower-cost loan options. The partnership aims to address the needs of employees and retirees who have limited access to socially responsible loan programs, providing them with flexible, employment-based loans that prioritize financial inclusion over credit scores.

Unlocking Opportunities for the Financially Underserved

Empowering Employees and Retirees

The collaboration between WebBank and BMG Money has given rise to LoansAtWork, a unique lending solution that caters to the specific needs of employees and retirees. Unlike traditional loan programs, LoansAtWork does not rely solely on credit scores to determine eligibility. Instead, it focuses on providing flexible, affordable, and manageable loan options that can be tailored to individual financial circumstances.The loan amounts typically range from 0 to ,000, with the funds being directly deposited into the customer's bank account. Repayment schedules are designed to align with the customer's pay cycle, ensuring that the payments are both convenient and manageable. Furthermore, the absence of prepayment penalties allows borrowers to take control of their financial obligations and potentially save on interest charges.

Reporting to Credit Bureaus for Improved Financial Profiles

A key aspect of the LoansAtWork program is its commitment to reporting loan performance to credit bureaus. This feature not only helps borrowers establish or improve their credit profiles but also serves as an incentive for responsible financial behavior. By demonstrating a track record of timely repayments, customers can potentially enhance their creditworthiness and gain access to a wider range of financial products and services in the future.

Addressing the Needs of the Financially Underserved

The partnership between WebBank and BMG Money is particularly significant in light of the challenges faced by a significant portion of the U.S. population. According to PYMNTS Intelligence, 16% of American consumers do not have a credit card, which can severely limit their financial flexibility and access to emergency funds. The "Secured Credit Solutions: Assessing Credit Accessibility for Disenfranchised Consumers" report, a collaboration between PYMNTS Intelligence and Atelio, delves deeper into the reasons behind this financial exclusion and its impact on the lives of those affected.

Fostering Financial Stability and Opportunity

The LoansAtWork program represents a concerted effort to address the needs of the financially underserved. By providing access to affordable and manageable loan options, WebBank and BMG Money aim to empower employees and retirees, enabling them to achieve greater financial stability and unlock new opportunities for personal and professional growth.

Commitment to Holistic Financial Services

The partnership between WebBank and BMG Money is a testament to their shared commitment to supporting underserved individuals and communities. As BMG Money President and CEO Kieran Noonan stated, "As BMG Money strives to level the playing field for the financially underserved, our alignment with WebBank's incredible team extends holistic services to more customers in need."Similarly, WebBank President and CEO Jason Lloyd emphasized the company's dedication to ensuring that "everyone deserves access to financial services and the opportunity to achieve economic stability." This collaborative approach underscores the organizations' recognition of the importance of financial inclusion and their determination to make a meaningful impact on the lives of those who have historically faced barriers to accessing credit and other financial resources.