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Pepper Advantage grows customer base 40% 

  • Growth driven by demand for credit management and technology in higher interest rate environment
  • Data and technology investments lead to new customer wins across both banking and non-banking sectors
  • Strong Asian growth driven by Indian and Indonesian markets

Pepper Advantage, a global loan servicing and credit technology company, today announced record customer growth in the seven months to August, 2023. The company now serves over 125 financial institutions globally, a 40% increase since December 2022. It serves these clients across 12 asset classes, including credit cards, personal and automotive loans, has 200+ active portfolios and over USD 55 billion in assets under management. 

The higher interest rate environment in Europe and the UK is driving demand for Pepper Advantage’s technology-enabled services as rising loan book complexities increase the need for consumer-focused credit management. Additionally, banks and other financial institutions are looking to leverage more effective credit data and technology to create efficiencies as funding costs rise and legacy systems expire. 

In Asia, growth in both the bank and non-bank lending sectors has accelerated demand for outsourced credit technology services. Pepper Advantage has expanded its sales force and grown its Asian client base by 36% during this period, with new client acquisition being driven by the company’s investments in market-leading credit data and technology. 

Pepper Advantage’s growth was particularly strong in Indonesia, where it has been granted an exclusive license to service fintech loans, and India, where the business recently recorded a 200% annual growth in AUM supported by the acquisition of Rieom.AI, the AI-driven machine learning credit assessment platform. Rieom.AI’s ability to process loan application documents and socio-demographic data to deliver effective risk assessment reports is already leading to increased client acquisition, while the volume of documents it has processed has grown over 10% per month since Pepper Advantage’s acquisition in May of this year.

Fraser Gemmell, Group Chief Executive Officer of Pepper Advantage, said: “We have seen significant demand for our core credit management offering as well as our new credit technology as clients contend with rising interest rates, cost pressures, and regulatory requirements. Our investments in proprietary technologies, advanced data and analytics, and consumer-focused product development are leading to strong growth across the business.”

Pepper Advantage is part of Pepper Group, which is 60% owned by KKR. 

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