Creditspring and Doshi form financial education partnership
Responsible lender, Creditspring, has partnered with financial educational platform, Doshi to build the UK's financial confidence, knowledge and future stability.
0
This content is provided by an external author without editing by Finextra. It expresses the views and opinions of the author.
The partnership will provide Creditspring members with access to financial education courses via its Learning Academy, powered by Doshi, to set goals and build their understanding of finance and money topics including budgeting, credit, mortgages, pensions and savings.
The Learning Academy launched for both Creditspring Go and loan members in March. Within the first five days of launch 11,000 product-related lessons had been completed. The platform has since seen around 10,000 members interact with it, with over 16,000 lessons now having been completed.
Members who complete the financial education courses are more engaged than the average member with enhanced financial literacy skills that empower them to make improved financial decisions. Members who interact with the Doshi platform are more likely not to cancel membership and are twice as likely to graduate from Creditspring Go to the full membership.
The announcement comes as new research from Creditspring highlights the lack of understanding around borrowing.* Just 3% of people are able to accurately calculate interest payments due on loans while the lack of understanding around the cost of borrowing is hurting their financial stability.
Only four in ten (40%) people know that the Annual Percentage Rate (APR) on a loan is determined by a borrower's financial position and credit history. Similarly, just half (51%) of people in the UK know that APRs can change during the repayment period or that interest can be charged on late fees.
The situation is unlikely to improve. While a third (33%) say that finances are too complicated for them to understand, this rises to 43% of younger people (aged 18-34).
Many borrowers blame lenders for their lack of understanding – almost six in ten (56%) people believe lenders make terms and conditions deliberately difficult to understand.
Meanwhile, seven in ten (68%) people believe school did not equip them with the necessary financial knowledge. Three in ten (30%) say they turn to family and friends to fill this knowledge gap – rising to over half (52%) of young people (18-34 year olds).
Creditspring's innovative model offers no-interest loans with clear repayment terms, capped total costs and no hidden charges, late fees, confusing interest rates or risk of debt spirals.
Neil Kadagathur, CEO and Co-Founder of Creditspring, comments: 'The UK's financial literacy black hole is punishing borrowers who don't understand the true cost of credit and find themselves in financial difficulty. This is exactly why Creditspring's transparent solution was created.
'Creditspring's approach works in the same way as Netflix, offering an easy-to-understand subscription model that highlights exactly how much borrowers need to repay. The onus needs to be on lenders to bridge the financial knowledge gap by enhancing understanding. Our partnership with Doshi is another example of how we're supporting our members to improve their financial knowledge, providing skills to manage their money and protect their future financial stability.'
'Given almost no borrowers can calculate interest payments, APRs are not fit for purpose as they add an unnecessary layer of complexity to short-term borrowing – lenders need to ensure they are offering transparent and affordable credit options which don't push borrowers into punishing debt spirals.'
Daniel Rose, Founder and CEO of Doshi, comments: 'We see the partnership with Creditspring as a strategic evolution—from building financial confidence to enabling better access to credit for more people, which is especially vital in the current economic climate.
'Moreover, Creditspring's innovative approach allows us to deliver more forward-thinking propositions. By analysing user engagement, we can better understand behaviour patterns, which in turn enables us to personalise the learning experience further and improve the pool of potential lenders.'
Creditspring's innovative model offers an FCA-regulated credit subscription service that responsibly offers short-term, affordable credit to borrowers. Members pay a fixed membership fee every month to allow them to access two no-interest loans per year with clear repayment terms, capped total costs and no hidden charges, late fees, confusing interest rates or risk of debt spirals.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Telegraph
an hour ago
- Telegraph
It's no wonder that the middle classes are fleeing Rachel Reeves's anti-wealth island
A brain drain is coming. We need to talk about emigration. Yes, you read that right, emigration – not just immigration. You heard the warnings during the Brexit wars – business and investors will leave for Paris, Frankfurt, Milan (and the Earth will stop spinning...) unless we remain in the customs union – and back then it was largely a load of hot air. But hear me out. This time, it's actually happening. Entrepreneurs and businesspeople are fleeing in their droves. In the past year alone, more than 10,000 millionaires have left the UK. Only China saw more high net-worth individuals leave. European countries are now stealing our lunch, with Italy and Portugal styling themselves as destinations for investor flight with attractive low-tax regimes. It wasn't Brexit that did it, but an economically illiterate tax regime determined to squeeze the juice dry. The best-paid 1 per cent already paid about a third of all income tax collected: those with the broadest shoulders were – and still are – bearing the greatest burden. But the Chancellor viewed successful investors and risk-taking entrepreneurs as criminals to punish, rather than assets to court. The non-dom tax changes may have polled well in focus groups, but they've backfired – and the public will now pay the price. Who is going to fund increases in defence, healthcare and transport spending? Yet again, it will fall to the middle classes to bridge the gap left. The Chancellor's ineptitude means further tax rises on working people in the autumn are now inevitable. The social contract with the middle class hasn't simply frayed – it's been shredded. They have been disproportionately targeted to fund a record tax burden while their quality of life has remained largely stagnant. They're paying more than ever to get less than ever in return. The public services they use are crumbling, the streets they walk feel less safe, and the town centres they visit are hollowed out by petty crime and boarded-up shopfronts. In France, discontent leads to riots; in Britain, it seems to dissipate into despair. The very real risk now is that Brits vote with their feet and simply pack up and leave en masse. A recent poll showed that nearly a quarter of UK adults are considering moving abroad in the next five years. These are highly skilled professionals who are the bedrock of any country: 48 per cent of those in the IT industry are considering emigrating, as are 30 per cent of those in the healthcare sector. And it's not just white-collar workers, either – when I speak to tradesmen, they think they would have far better prospects in countries such as Australia and Canada. This is no longer an issue of investor flight, but a full-on brain drain. In the 1970s, a high-tax and anti-business environment led to Britain experiencing a net loss of 500,000 people. Half a century later, history could well repeat itself. Even my generation, now pushing into our 40s, who didn't feel like we had it particularly good entering the jobs market in the 2000s, and with the massive house-price boom of that period, had it so much better. When I speak at universities, I am struck by how many are contemplating opportunities abroad. And who can blame them? Young graduates today pay more than ever to live in tiny bedrooms in shared flats. The prospect of homeownership – or starting a family – has never been more distant. Unlike previously, the alternatives to the UK are increasingly appealing. Their money can go further elsewhere, and they can live in more prosperous countries with a better quality of life. In 2007, the average Brit was richer than the average American, Australian, Austrian, Belgian, Canadian and German, to name just a few. Now, they have all overtaken us. And it's not just them. Finland, the UAE, Hong Kong and Israel have all sailed past us when it comes to GDP per capita. A failed policy consensus of the past 20 years has driven this country into decline – and now the consequences are upon us. We won't return to being a country of net emigration anytime soon. Quite the opposite: Starmer's immigration White Paper was a recipe for more mass legal and illegal migration. That means hundreds of thousands more migrants who, over their lifetime, will take out more then they put in – many of whom are from culturally divergent countries. Meanwhile, net contributors are pushed towards the exit. On average, a millionaire leaves the country every 45 minutes, while an illegal migrant enters the country every 15 minutes. It's the most brain-dead migration policy imaginable. I don't just fear for the raw economic consequences. If middle-class flight takes off, the foot will slam on the accelerator driving the dizzying pace of change. Brits who have grown up here and are imbued with our history, heritage, culture, customs and traditions can't simply be swapped like-for-like. Nations, like all good things, take an age to create but are easily destroyed. Many Brits can sense that the country they love is slipping away: at first gradually, then suddenly. I understand why people consider leaving the UK, although I could never, ever imagine it myself. I too despair sometimes, but I care too much to just shrug my shoulders and resign myself to defeat. We have a fight on our hands to turn this country around. But safe streets, cohesive communities, cheap energy, functioning public services, higher wages and a startup culture are never unobtainable. For all our problems, this is a great country – and I'm convinced we can be greater still.
The Guardian
an hour ago
- The Guardian
UK ministers delay AI regulation amid plans for more ‘comprehensive' bill
Proposals to regulate artificial intelligence have been delayed by at least a year as UK ministers plan a bumper bill to regulate the technology and its use of copyrighted material. Peter Kyle, the technology secretary, intends to introduce a 'comprehensive' AI bill in the next parliamentary session to address concerns about issues including safety and copyright. This will not be ready before the next king's speech, and is likely to trigger concerns about delays to regulating the technology. The date for the next king's speech has not been set but several sources said it could take place in May 2026. Labour had originally planned to introduce a short, narrowly-drafted AI bill within months of entering office that would have been focused on large language models, such as ChatGPT. The legislation would have required companies to hand over their models for testing by the UK's AI Security Institute. It was intended to address concerns that AI models could become so advanced that they posed a risk to humanity. This bill was delayed, with ministers choosing to wait and align with Donald Trump's administration in the US because of concerns that any regulation might weaken the UK's attractiveness to AI companies. Ministers now want to include copyright rules for AI companies as part of the AI bill. 'We feel we can use that vehicle to find a solution on copyright,' a government source said. 'We've been having meetings with both creators and tech people and there are interesting ideas on moving forward. That work will begin in earnest once the data bill passes.' The government is already locked in a standoff with the House of Lords over copyright rules in a separate data bill. It would allow AI companies to train their models using copyrighted material unless the rights holder opts out. It has caused a fierce backlash from the creative sector, with artists including Elton John, Paul McCartney and Kate Bush throwing their weight behind a campaign to oppose the changes. This week, peers backed an amendment to the data bill that would require AI companies to disclose if they were using copyrighted material to train their models, in an attempt to enforce current copyright law. Ministers have refused to back down, however, even though Kyle has expressed regret about the way the government has gone about the changes. The government insists the data bill is not the right vehicle for the copyright issue and has promised to publish an economic impact assessment and series of technical reports on copyright and AI issues. Beeban Kidron, the film director and crossbench peer who has been campaigning on behalf of the creative sector, said on Friday that ministers 'have shafted the creative industries, and they have proved willing to decimate the UK's second-biggest industrial sector'. Kyle told the Commons last month that AI and copyright should be dealt with as part of a separate 'comprehensive' bill. Most of the UK public (88%) believe the government should have the power to stop the use of an AI product if it is deemed to pose a serious risk, according to a survey published by the Ada Lovelace Institute and the Alan Turing Institute in March. More than 75% said the government or regulators should oversee AI safety rather than private companies alone.
The Independent
an hour ago
- The Independent
TUC increases pressure on Reeves to introduce wealth taxes
The TUC is increasing pressure on the government to introduce wealth taxes amid expectations of spending cuts, with a poll revealing that 54% of the public supports taxes on big corporations and wealthy individuals. TUC General Secretary Paul Nowak urged the government to sustain funding for public services, criticising the current system where the wealthy don't contribute their fair share. Angela Rayner has pressed Rachel Reeves to consider wealth taxes instead of departmental cuts, amidst internal government disagreements over the upcoming spending review. The TUC has criticised the Office of Budget Responsibility (OBR), suggesting its forecasts may negatively impact spending plans and calling for a review of the OBR's role to allow greater investment flexibility. A TUC poll indicates widespread frustration with the amount of tax paid by the wealthiest, with significant support for wealth taxes, windfall taxes on banks, and raising capital gains tax, including among Tory to Labour switchers and those considering switching from Labour to Reform.
