Afin Bank to Help Millions of “Financially Excluded” Borrowers in UK Diaspora Communities

Afin Bank UK mortgages have received full regulatory approval, enabling the new digital bank to serve diaspora and overseas communities often excluded by traditional lenders. With support from PRA and FCA, Afin  Bank  wants  to help foreignnationals get a mortgage in the UK by solving real problems they face.

Afin Bank will offer a range of residential and buy-to-let mortgages designed for people with an overseas passport and a valid visa to work in the UK who are often underserved by bigger banks because of circumstances such as their visa status or lack of UK credit history.

Afin Bank’s infrastructure is built on Vault Core, the next-generation core banking platform developed by Thought Machine. The bank will use Vault Core to rapidly build and launch highly configurable products, tailored to the needs of underserved communities. It also gives Afin Bank the ability to scale operations efficiently while maintaining full control over product design. This works with the bank’s own proprietary technology to create a seamless banking experience.

In addition to mortgages, the bank will also launch a range of FSCS protected savings accounts in the coming weeks which will be accessible via a mobile app.

The bank’s CEO, Jason Oakley, said that many people from diaspora communities are effectively facing financial exclusion. He explained: “Our research* found that 87% of Africans living in the UK say they have been turned down for a mortgage, with 41% believing this was due to their visa status and 30% believing they were rejected because of a lack of UK credit history.

“However, many of these borrowers have great jobs or their own businesses, with good earning potential. Afin Bank will take a pragmatic approach to these factors to understand a borrower’s situation and try to help them get a mortgage so they can finally have a home of their own.”

Monica Velasquez, Afin Bank’s Chief Technology Officer, added: “Afin Bank has been created to empower customers who are underserved by mainstream banks, whether that’s mortgage borrowers from diaspora communities, or savers looking for a better way to manage their money.

“Our technology will create speed and efficiencies in the way we handle applications and how our customers manage their finances, but it will also provide valuable data and insight into their circumstances and needs so we can develop new products and services in the future.”

Paul Taylor, CEO and founder of Thought Machine, commented: “Afin Bank is building a modern bank with a clear social mission – to serve communities excluded by the traditional financial system. We’re proud to support them with Vault Core, our next-generation core banking platform, which gives them the flexibility and control to design truly personalised, fair and innovative financial products.”

The idea for a “diaspora bank” came from the experiences of Africans living in the UK, often in well-paid professional roles in finance, law and health, who were unable to put down roots because they could not get a mortgage.

Afin Bank’s parent company WAICA Reinsurance Corporation Plc (WAICA Re), one of the largest reinsurance companies in Africa, has committed £62m to the bank. It has reached full launch in less than nine months after receiving its Authorisation with Restrictions (AwR) in October last year.

While designed with diaspora communities in mind, Afin Bank says its mortgages may also be suitable for all borrowers struggling to get a mortgage because of their circumstances, such as the self-employed and professionals.

It will offer mortgages through a broker network and via an innovative Community Ambassadors Programme where people in diaspora communities will introduce friends, family and contacts to Afin Bank’s in-house mortgage advisors. Mortgages will be available for properties in England and Wales.

By focussing on underserved groups, Afin Bank UK mortgages give diaspora communities, self-employed people, and visa holders a new way to buy a home.

For more information about Afin Bank visit www.afinbank.com follow it on LinkedIn and  @AfinBankUK on X and Instagram.