Koyo

Koyo, a UK-based financial technology company, was established in 2018 by Thomas Olszewski. The founder's personal experience as an immigrant in the UK, where he faced difficulties accessing credit products due to a lack of local credit history, directly inspired the company's mission. Olszewski, a former venture capitalist, identified a significant market gap serving individuals underserved by traditional lending metrics.

The company operates as an online lender, focusing on the near-prime and 'thin-file' consumer credit markets in the UK. This includes immigrants, students, and young people who have not yet built a substantial credit history. Koyo's business model is centered on providing personal loans by leveraging Open Banking technology to assess a borrower's financial stability based on their real-time transactional bank data rather than relying solely on traditional credit scores. This approach allows the firm to evaluate affordability based on spending habits and regular income, offering competitively priced credit without hidden fees or the need for guarantors. Revenue is generated from the interest charged on these personal loans.

Koyo's core product is an online personal loan with a fully digital application process. Applicants grant Koyo secure access to their bank account data, which the company's platform analyzes to make a lending decision, often within minutes. The firm offered loans ranging from £100 to £5,000 with fixed monthly repayments. A key selling point was that the application process did not affect an individual's credit score. Despite significant growth and securing substantial funding, including a Series A round and multiple debt financing deals, Koyo ceased issuing new loans in mid-2023 after failing to secure further investment. Existing loan accounts were subsequently transferred and are now managed by Capquest.

Keywords: Open Banking loans, personal finance, fintech lender, thin-file customers, near-prime lending, consumer credit, financial inclusion, credit assessment, alternative data, online lending, UK fintech, loan application, personal loans, credit history, immigrant finance, student loans, Thomas Olszewski, debt financing, venture capital, loan management