8Twelve Financial Technologies and Dwello ink tech-integration agreement
8Twelve Financial Technologies Inc. has entered into an agreement to provide mortgage solutions to payment platform Dwello.
With Dwello’s integration into 8Twelve’s proprietary analytics platform INFIN8, Dwello users will be notified when they qualify for a mortgage from 8Twelve.
“8Twelve also has access to other products such as Co-Equity down payment programs to further facilitate homeownership,” the fintech said in its announcement.
Renters can sign up for free and pay rent through the Dwello payment platform, with the payments subsequently reported to credit bureau Equifax Inc.
“Over time, on-time payments help build credit scores, thus unlocking favorable offers on credit products like loans, mortgages and credit cards,” 8Twelve said.
“Rent reporting to [Equifax] has demonstrated success in assisting renters in improving and establishing their credit profiles,” said Roy Moufawad, CEO of Dwello. “This has led to increased access to preferred lending products and favourable rates, as well as a broader range of rental properties. This initiative has benefited hard working Canadians who may have otherwise been disadvantaged in the system due to low credit scores or non-existent credit profiles.”
8Twelve added that the partnership will be a major boost to Dwello renters who are planning to eventually become owners.
“Until very recently, solutions such as these did not exist for renters and home buyers,” said Jason Baibokas, CFO of 8Twelve. “People were left to their own devices to figure out how to migrate themselves from being a renter to being a homeowner. The convergence of finance and technology has finally reached a point where an increasing number of tools are available to plan for and achieve home ownership.”