Amplifi Capital raises £50m from M&G to boost the UK credit union sector
Amplifi Capital, the company behind UK financial services brands My Community Finance and Reevo Money, has secured £50 million in debt funding from M&G, a savings and investment business in the UK and Europe.
Launched in 2015 and regulated by the Financial Conduct Authority (FCA), Amplifi Capital specialises in near-prime lending.
Its first customer-facing brand, My Community Finance, was launched in 2018 and provides the infrastructure to connect customers with two domestic credit unions, My Community Bank and Castle Community Bank.
The company says My Community Finance has experienced double-digit growth since its launch and helped make its two credit union partners the fastest-growing in the UK.
Its second customer-facing brand, Reevo Money, was introduced in 2022 with the aim of “revolutionising access to fast, fair and affordable loans”.
Amplifi Capital says its combined business has served savings and loan products to over 100,000 customers in the UK with a total loan book of over £350 million.
“The support from M&G is a pivotal moment for Amplifi Capital because its primary objective is to provide accessible credit products to the estimated 20 million consumers in the UK that are underserved and unable to access credit from high-street banks,” it states.
On its roadmap are also credit cards and car loans.
Amplifi Capital is keen to grow the UK’s credit union sector to help it “reach its full potential” and make it “a viable alternative for savers and borrowers”.
At present, the UK credit union sector is very small, with 246 credit unions serving 1.44 million members based on their employment or where they live.