Published: August 28, 2023 / Updated undefined ago
Supporting marginalized communities with purpose and innovation
Three-quarters of the world’s poor are unbanked. Experian’s Wil Lewis explains how community investment can foster financial inclusion.
Access to mainstream financial services is the bedrock of successful, modern economies, helping both businesses and individuals achieve their ambitions. But remarkably, it’s estimated that half of the world’s adults—around 2.5 billion people—do not use any formal financial services, with the World Bank finding that 75% of the world’s poorest people are unbanked.
This limited access impedes opportunities for people to change their lives—which affects everything from finding a home and healthcare to accessing education and business opportunities. The issue is severe, but work is being done to tackle the situation, with financial inclusion identified as an enabler for seven of the 17 United Nations Sustainable Development Goals.
To respond to this situation, many firms are taking direct action in the communities they serve. Financial education has always been delivered through corporate responsibility programs, but more recently these initiatives have become a central part of business strategy, aligning to business purpose.
Promoting a wider understanding of how credit products work and promoting financial education is a key part of that process. As a result, companies like Experian have placed a huge emphasis on supporting communities, especially those more marginalized groups where the need is greatest.
“Promoting financial health is a key priority for us,” explains Wil Lewis, Global Chief Diversity, Equity, Inclusion and Talent Acquisition Officer at Experian. “Community investment has always been central to our corporate responsibility, with a strong focus on initiatives that support financial education and financial management.”
“This year,” he says, “our partnership with True Colors United, focusing on financial literacy and inclusion for young people in the US with lived experience of homelessness, made over 16,000 connections, particularly amongst LGBTQ+, black, indigenous and other minority communities.
“Across the pond, we also partnered with the National Literacy Trust in the UK to launch Words that Count, a national campaign boosting the financial literacy and understanding of 11 million young adults.
“Furthermore, the Heart of Experian initiative allows employees to support communities in need through work-time volunteerism, donations, and support for NGOs. It drives impactful contributions through actions big and small and has raised money for charities such as the National Multiple Sclerosis Society, #FirstRespondersFirst and the Loveland Foundation.
Experian volunteers have made gifts for children in hospitals, built wheelchair ramps for people with disabilities in Dallas in partnership with the Dallas Ramp Project, and provided over 1,000 meals for needy families in Orange County. Collectively, employees have volunteered over 100,000 hours of their time, and the business has made a direct community investment of more than $39 million.
“We are also focusing on using our products to drive positive change in communities,” Lewis adds. “For example, in Brazil, Limpa Nome, the online debt resolutions marketplace, allows consumers to renegotiate their overdue debts, while in other regions, such as India, our data and technology is helping financially excluded people to verify their identity and access key services.”
“New innovations are being developed continuously,” he says. “In the UK, we are helping people with support needs to access services in a way most appropriate to them. Experian Support Hub connects you with multiple organizations all at once. It’s free and takes just a few minutes, eliminating the frustrating and time-consuming process of letting each service provider know individually how you wish to be contacted.”
By doubling down on this purpose-led approach, focusing on improving financial well-being through education, support and product innovation, it’s possible to reach more people and make more of an impact. As economic pressures persist, it’s vital that global technology companies are able to deploy their expertise and support vulnerable communities wherever they are around the world.
To find out more about the Experian Exchange series, go to Experian.com/exchange.