LemFi Acquires Pillar to Launch Credit Products For Immigrants And Tackle Financial Exclusion

LemFi, a platform that offers international remittance, credit products, and bank accounts for people who migrate from their home countries abroad, has acquired UK Fintech Pillar to expand credit access for immigrants.

This strategic move is aimed at reshaping financial services for immigrant communities. The acquisition marks a pivotal shift, positioning LemFi to launch a specialized credit card tailored to the needs of immigrants, addressing one of their most significant barriers to financial inclusion in the UK.

LemFi will now inherit Pillar’s infrastructure, becoming the first major remittance platform to integrate credit offerings into its core services. The deal, approved by the UK’s Financial Conduct Authority (FCA), also brings Pillar’s co-founders and Revolut alumni, Ashutosh Bhatt and Adam Lewis, into the LemFi team.

This acquisition comes as immigrants in the UK face significant barriers to accessing financial services, which hinders their economic integration. Many immigrants, especially refugees and those from countries with weak financial systems, lack a UK credit history or sufficient identification, making it difficult to open bank accounts or access credit.

Without bank accounts, securing housing or employment becomes harder, as these often require financial records. A 2024 X post highlighted the difficulty of obtaining mortgages or rentals without UK work or credit history, reflecting broader systemic issues.

Despite these hurdles, immigrants contribute significantly to the UK economy, with higher net migration linked to reduced government borrowing over time, though public service spending adjustments are needed.

By acquiring Pillar, LemFi is taking a bold step toward eliminating these inequities, offering not just remittance services but also credit products that recognize and accommodate the lived realities of immigrant populations.

Founded in 2021 by Ridwan Olalere and Rian Cochran, LemFi has grown rapidly by enabling diaspora communities in North America and Europe to send money to emerging markets across Africa, Asia, and Latin America. Its first credit offering gained more than 8000 users just six weeks into its private beta, growing 18% week-on-week. Customers receive a virtual card, instantly usable via Apple Pay or Google Pay. Physical Visa cards will launch later this year when the service is rolled out to the public.

Initially launched as Lemonade Finance, it rebranded to LemFi in 2023. The company addresses key barriers immigrants face in accessing financial services in the UK and globally, such as a lack of credit history, documentation challenges, and high remittance costs. Serving over 2 million users across the US, UK, Canada, and Europe, the Fintech handles $1B in monthly transactions, with 60% monthly active users. Its focus on Asian markets, particularly India (the largest remittance recipient at $125B in 2023), drives 30% month-on-month growth.

The fintech firm now boasts more than 1 million active users who rely on its multi-currency accounts to send funds to countries including Nigeria, Kenya, India, China, Pakistan, and others. In January this year, the company raised $53 million in funding to drive customer acquisition and expand its presence in additional markets.

LemFi competes with remittance fintechs like Wise, Remitly, Zepz, and Sendwave but differentiates through its immigrant-focused, full-stack approach, combining remittances, credit, and multi-currency accounts. Its understanding of local preferences and partnerships (e.g., ClearBank, Nigerian banks) gives it an edge in emerging markets.

LemFi’s vision is to become the primary financial services hub for immigrants globally, leveraging its recent funding and Pillar acquisition to scale credit and payment solutions.