Virgin Money has partnered with lending technology firm Trade Ledger to build out its business banking capabilities.
Through the partnership, Virgin Money hopes to provide a quicker, more efficient service to its customers while reducing risk.
The bank is initially deploying Trade Ledger across business term loans, asset finance and invoice finance.
Trade Ledger says its platform has a Lending-as-a-Service (LaaS) capability, supporting secured and unsecured lending. It adds this can unlock “all types of working capital and business lending products”.
The partnership is part of its commitment to its £35 million award from the Banking Competition Remedies (BCR) Capability and Innovation Fund.
“Customer experience is key as we prepare to bring our business banking proposition to the market,” says group business director at Virgin Money, Gavin Opperman.
Virgin Money ranks as the sixth-largest bank in the UK, with around 6.6 million customers. The bank structures its services around personal accounts, mortgages and business accounts.
In November 2020 the lender revealed a loss after tax of £141 million, due in part to half a billion in bad loan charges.
Roger Vincent, UK managing director at Trade Ledger, says Virgin Money recognises “the value in using data to reimagine working capital for the digital economy”.
He adds: “Our partnership will help to get capital to the businesses who really need it at a critical time.”