NatWest is piloting a new app for renters to share bills with flatmates and help boost their credit scores.
Research has found that 20% of the total UK households are currently rented from a private landlord and this is projected to overtake the number of households that are mortgaged by 2025.
The new NatWest app is designed to take the aggro out of organising shared flat finances. Recent research by Barclays indicates that Brits living in flatshares are losing out on £552 every year due to their nightmare housemates not pulling their financial weight
Using the NatWest 'Housemate' app, flatmates can track who owes each other money and repay instantly using Open Banking.
The app will also enable private renters to build their credit files, reporting rental payments to Experian which then adds it to an individual’s credit report.
Wendy Redshaw, chief digital information officer, retail banking DigiTech at NatWest says: “With Housemate, we have created a ‘one stop shop’ for renters, enabling those in shared accommodation manage their joint finances smoothly and at any time. Building a credit score is an important part of that, whether it’s for renting their next home or applying for a mortgage.”
Currently undergoing testing, the app is set for a wider roll out in 2021.
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