Wonga Launch Signals Arrival Of ‘Cash On Demand’

UK consumers have a new source of fast credit,on a business day, the cash is deposited straight
without the long-term commitment associatedinto their bank account within minutes.
with bank loans, overdrafts and credit cards,Wonga also operates a trust system, similar to
following the market launch ofcommunity-orientated sites like eBay, whereby
The announcement follows extensive beta testingnew applicants are initially limited to borrowing up
which saw the London-based company surpass all£200 but can increase their credit limit by using
expectations and process thousands of loans in athe service responsibly over time.
matter of months.The service has been designed to appeal to
Errol Damelin, founder and chief executive officeranyone who experiences the occasional
of Wonga, explains: “Banks and other lenders‘Wonga moment’ - such as an urgent
are weighed down by tradition and complexity.time-sensitive purchase, an unmissable social
People have come to expect rigid terms, realmsevent, emergency repairs or a shock bill.
of paperwork and slow decisions - particularly inWonga is a ground-breaking online lender based in
recent times with the increasing pressures of theLondon. We launched our first website in October
credit crunch. So a frequent reaction to our2007 and rapidly became one of the UK’s
service has been amazement at the speed of ourmost exciting start-up businesses. We are backed
process.by major investors including Balderton Capital and
“We’ve developed a complex back-endour mission is to provide consumers with instant
system that enable us to offer a servicemoney whenever they need it - we call it cash on
that’s simplicity itself. Wonga is all aboutdemand.
speed and convenience and we can makeFurther media information:
automated decisions and transfer our small loansWe are transforming the huge UK credit market
directly into bank accounts within minutes. Theby offering small, short-term loans with more
application process is also completely transparentspeed and convenience than banks, high street
and there are no hidden fees.”lenders and other websites. We remove the
Applicants use sliders on the Wonga home pageinconvenience, complexity and inflexibility
to decide exactly how much cash they want toconsumers face whenever they need to borrow
borrow and for how many days they need itsome cash in a hurry. We have a consumer credit
(between five and 30). The cost is calculated uplicence from the Office of Fair Trading and are
front and, if an applicant is approved before 3pmmembers of the Finance and Leasing Association.