TheCable

The HSBC UK bank is partnering with Nova Credit, a global credit bureau, to allow new emigrants to leverage their international credit history when applying for a credit card with HSBC.

In a statement released recently, the bank said it will use Nova Credit’s technology to assess the creditworthiness of new card applicants based on their international credit history from 12 countries.

According to the partnership, the countries include Australia, Brazil, Canada, the Dominican Republic, India, Kenya, Mexico, Nigeria, the Philippines, Spain, Switzerland and the United States.

Madhu Kejriwal, head of unsecured lending at HSBC UK, said that newcomers are essential to the growth of the UK economy.

“Newcomers are vital to the growth of our economy, with the flow of ideas and experiences enriching the lives of people across the UK and around the world,” he said.

“But newcomers can face real and unique hurdles when settling into their new lives in the UK – from struggling to set up essential services due to lack of local credit history to juggling finances between locations and understanding tax considerations.

“Opening a credit card and building credit is an important step when setting up life in a new country.

“As the UK’s leading international bank, we’re excited to be able to offer customers the option to leverage credit history built up overseas to start a positive credit history in the UK on arrival.”

Speaking also on the partnership, Collin Galster, head of international at Nova Credit, said migration growth in the UK is on the increase and effort must be made to support the new entrants.

“We’re thrilled to expand our global partnership with HSBC. With nearly 100% of the UK’s population growth coming from migration, businesses cannot win without a dedicated strategy to better attract and retain this highly prized, yet underserved segment,” he said.

“We’re seeing growing recognition to better serve newcomers in the UK, particularly as the FCA’s Consumer Duty rules take effect this year.

“The Nova Passport has been warmly welcomed by the market as a range of businesses can use it to build more compelling propositions and more valuable customer relationships.”

HSBC UK became the second HSBC entity, after HSBC Singapore, to roll out Nova Credit’s technology.