PayJoy, an emerging markets credit provider and Public Benefit Corporation, has officially reached 20 million customers globally. Operating heavily across Latin America, Africa, and Asia, the San Francisco-based company announced that it has successfully financed over $3.5billion in loans since its inception in 2015. The milestone reflects a strong, continued demand for accessible and responsible credit solutions explicitly tailored for underserved, underbanked populations.
Overcoming the unsecured credit barrier
In many emerging markets, traditional unsecured lending is frequently deemed too risky for first-time borrowers, effectively locking millions out of the formal financial system. PayJoy addresses this critical structural gap by utilizing the borrower’s smartphone itself as collateral, a proprietary mechanism designed to significantly lower the overall cost of credit and radically expand financial access.
The firm’s secured-credit technology goes beyond hardware locking, utilizing cutting-edge machine learning, robust data science, and advanced anti-fraud artificial intelligence to underwrite loans. By turning an everyday digital device into a collateralized asset, PayJoy provides immediate point-of-sale financing that traditional lenders simply cannot profitably offer.
Building credit and business performance
This innovative approach to secured lending has proven highly effective in mitigating risk and improving borrower behavior. According to recent research conducted by the Mexican credit bureau CÃrculo de Crédito, PayJoy customers are approximately three times less likely to be late—defined as 30 days past due—compared to borrowers utilizing competing lenders. As these customers consistently repay their loans, they actively build their formal credit history, ultimately gaining access to broader financial opportunities such as the PayJoy Card.
Doug Ricket, CEO and co-founder of PayJoy, emphasized the dual impact of the company’s lending model. He stated that reaching the 20 million customer mark clearly demonstrates that financial inclusion and strong business performance can successfully go hand in hand. Ricket explained that the company started by making smartphones more affordable, but is today building a broad credit platform that helps tens of millions of people access new opportunities, build financial resilience, and confidently move forward. To support this growing global mission, the firm now employs over 1,000 people worldwide.