
OakNorth - Detailed Review
Finance Tools

OakNorth - Product Overview
Overview
OakNorth is a London-based financial institution that has made a significant impact in the banking sector through its innovative use of AI and data analytics. Here’s a brief overview of their product category, primary function, target audience, and key features:Primary Function
OakNorth’s primary function is to provide AI-driven lending solutions and financial services, particularly focusing on credit analysis, portfolio monitoring, and risk management. Their platform is designed to make data-driven lending decisions quickly and efficiently, which is a significant departure from traditional banking methods that often rely on historical financial data.Target Audience
OakNorth primarily targets small and medium-sized enterprises (SMEs), which are often underserved by traditional banks. Additionally, they cater to high net worth individuals and real estate developers and investors, offering personalized banking services and specialized financing solutions for these groups.Key Features
AI-Driven Credit Analysis
OakNorth uses advanced algorithms and machine learning techniques to assess credit risk more accurately. This allows for faster loan approvals and more informed lending decisions.Real-Time Monitoring
Their platform provides continuous monitoring of loan portfolios, predicting borrowers’ financial positions and industry-related risks in real-time. This includes showing the borrower’s cash and financial position, enabling lenders to manage risk more effectively.Macro-Level Insights
OakNorth’s system gathers and synthesizes data from a large number of loans and private companies, offering a macro view of the markets. This helps banks prepare for macroeconomic shifts and identify the most impactful variables on their loan books.Dashboard Insights
Credit analysts can use dashboards to look at specific drivers in global industrial sectors and sub-sectors. These dashboards indicate which clients to prioritize in future communications, helping relationship managers maintain strong professional relationships with existing business portfolios.Portfolio Management
The OakNorth Credit Intelligence Suite includes components like ON Portfolio Insights, ON Credit Analysis, and ON Portfolio Monitoring. These tools help in segmenting portfolios, rating loans based on vulnerability, and tracking industry trends with early warning alerts for potential covenant breaches. By leveraging these features, OakNorth aims to support the growth and expansion of SMEs and other target groups, while also providing a more efficient and data-driven approach to lending and financial management.
OakNorth - User Interface and Experience
User Interface and Experience
The user interface and experience of OakNorth’s finance tools, particularly their mobile banking app and credit intelligence suite, are crafted with a focus on simplicity, ease of use, and comprehensive functionality.Mobile Banking App
The OakNorth Mobile Banking App is designed to provide a hassle-free and convenient banking experience. Here are some key features:Account Opening
Users can open various types of accounts, including Fixed Term Deposits, Notice Accounts, and Easy Access Accounts, all within minutes from any location.24/7 Access
The app offers round-the-clock access to account details, allowing users to check their balance, view earned interest, current interest rates, and transaction history at any time.Fund Withdrawal
With a simple click, users can withdraw funds, with the amount transferred to their nominated bank account either the next working day for Easy Access accounts or after the notice period for Notice Accounts.User Experience
The app is available on both the Apple App Store and Google Play Store, ensuring widespread accessibility. OakNorth has continued to invest in improving the user experience (UX) and user interface (UI) to enhance functionality and user satisfaction.Credit Intelligence Suite
For credit analysis and loan portfolio management, OakNorth’s Credit Intelligence Suite offers a user-friendly and intuitive interface:Components
The suite includes ON Portfolio Insights, ON Credit Analysis, and ON Portfolio Monitoring. These components allow users to segment portfolios, rate loans based on vulnerability, and gain a 360-degree view of borrowers with financial forecasting and sector insights.Real-Time Data
The platform provides real-time data and analytics, enabling continuous monitoring of borrowers’ financial positions and industry-related risks. This helps in predicting potential covenant breaches and managing risk more effectively.Training and Support
OakNorth also offers the OakNorth Academy, a training program for relationship managers and credit officers, to ensure they can fully utilize the platform’s capabilities.Ease of Use
The interfaces are generally straightforward and easy to use:Mobile Banking App
The mobile banking app simplifies common banking tasks, such as opening accounts and withdrawing funds, with minimal steps required.Credit Intelligence Suite
The Credit Intelligence Suite is built with critical users in mind, including Relationship Managers, Credit Analysts, and Portfolio Managers, ensuring that the tools are intuitive and simple to use even for complex tasks like credit analysis and portfolio monitoring.Overall User Experience
OakNorth’s focus on improving the user experience is evident from their continuous investments in UX and UI enhancements. The platforms are designed to be user-friendly, providing clear and accessible information to users. For instance, the mobile banking app allows users to view all their accounts in one place, and the Credit Intelligence Suite offers dashboards that provide insightful and actionable data to credit analysts and relationship managers. Overall, OakNorth’s finance tools are designed to be easy to use, providing a seamless and efficient user experience that meets the needs of both individual savers and professional credit analysts.
OakNorth - Key Features and Functionality
OakNorth Credit Intelligence Suite
The OakNorth Credit Intelligence Suite offers several key features that revolutionize commercial lending and credit analysis. Here’s a breakdown of these features and how they work:Credit Analysis
The OakNorth Credit Intelligence Suite provides a 360-degree view of borrowers through its credit analysis component. This involves:- Financial Forecasting: The platform uses machine learning to model a forward-looking view of a borrower’s financial situation, informed by industry benchmarks, macroeconomic drivers, and scenario analysis specific to the business.
- Sector Insights and Peer Analysis: It analyzes financial statements, detects anomalies, and finds and ranks peers to provide a comprehensive view of the borrower’s financial health. This helps in identifying predictive factors of growth, revenue, and costs.
Portfolio Insights
The platform includes ON Portfolio Insights, which allows lenders to instantly segment their portfolio and rate loans based on the level of vulnerability. This feature helps in identifying potential risks and opportunities within the portfolio.Portfolio Monitoring
OakNorth’s platform offers enhanced monitoring capabilities through ON Portfolio Monitoring. This includes:- Customizable Dashboards: Pre-built, intuitive, and easy-to-use dashboards that enable lenders to track industry trends and set early warning alerts for potential covenant breaches.
- Real-time Tracking: Lenders can monitor their borrower portfolios in real-time, drilling down to individual loan levels or rolling up to industry or portfolio levels.
Data Integration and Analytics
The platform continually consolidates, enriches, and integrates public, private, and alternative data sets using a proprietary domain model. This integration is crucial for creating a comprehensive and adaptable risk profile. Machine learning models, including peer analysis and sensitivity analysis, are used to make accurate credit decisions.AI and Machine Learning
OakNorth heavily leverages AI and machine learning:- OCR/NLP: The platform uses Optical Character Recognition (OCR) and Natural Language Processing (NLP) to ingest financial documents, making the analysis process more efficient.
- Anomaly Detection: AI tools detect anomalies in financial statements, helping to identify potential issues early.
- Driver Selection: Machine learning identifies predictive factors of growth, revenue, and costs, enhancing the accuracy of credit decisions.
Speed and Efficiency
The OakNorth platform significantly speeds up the lending process. Transactions can be completed from the first meeting to cash disbursement in weeks, rather than months, as is common with traditional lenders. This speed is achieved through automated and data-driven processes.Flexibility in Collateral
The platform allows lenders to look beyond traditional real estate collateral and consider other assets such as stock, debtors, plants and machinery, intellectual property, and even alternative assets like art. This is possible because the platform can analyze risk with greater confidence using advanced data analytics and machine learning.Training and Support
OakNorth provides the OakNorth Academy, a training program exclusively for its clients. This program helps relationship managers and credit officers to effectively use the platform, enhancing their operational processes and efficiency. These features collectively enable OakNorth to offer a highly efficient, data-driven, and AI-powered lending solution that benefits both lenders and borrowers by providing quicker, more accurate, and more flexible credit decisions.
OakNorth - Performance and Accuracy
Overview
OakNorth, an AI-driven challenger bank, has made significant strides in the finance tools category, particularly in credit analysis and risk management, through its innovative use of machine learning and AI.Performance
OakNorth’s performance in AI-driven credit analysis is marked by several key achievements:Data Utilization
Credit Scoring
Operational Efficiency
Accuracy
The accuracy of OakNorth’s AI-driven credit tools is a standout feature:Transparency
Risk Assessment
Comprehensive Approach
Limitations and Areas for Improvement
While OakNorth has achieved significant success, there are some areas that could be improved:Economic Sensitivity
Efficiency Ratio
Continuous Monitoring
Conclusion
Overall, OakNorth’s AI-driven finance tools have demonstrated strong performance and accuracy, but like any financial institution, they must continue to adapt to economic changes and manage operational efficiencies to maintain their edge.
OakNorth - Pricing and Plans
Savings Account Types
OakNorth provides several types of savings accounts, each with its own set of features and interest rates.
Fixed Term Savings Accounts
- These accounts have fixed interest rates ranging from 3.50% to 4.25% AER, depending on the term which can be from 6 to 60 months.
- You cannot access your money until the maturity date.
- Interest is calculated daily and applied monthly.
- There is a minimum deposit of £1 and a maximum of £500,000 per account.
Easy Access Savings Accounts
- These accounts offer variable interest rates, currently up to 4.32% AER for the Easy Access Limited Edition account.
- You can access your money at any time without notice.
- Interest is calculated on the minimum daily balance and applied monthly.
- There is a minimum deposit of £1 and a maximum of £500,000 per account.
Cash ISAs
- OakNorth offers easy access and fixed-rate Cash ISAs with terms ranging from 12 to 36 months.
- Interest rates vary, for example, 4.20% AER for a 12-month fixed-rate ISA.
- These accounts are tax-free, meaning the interest earned is not subject to income tax.
- There is a minimum deposit of £1 and a maximum of £500,000 per account.
Features and Management
- All accounts can be managed through the OakNorth mobile banking app or the website.
- You can apply for single or joint accounts, with joint accounts limited to two account holders.
- There are no fees associated with these accounts; the primary focus is on the interest rates and the security of your deposits, which are protected up to £85,000 by the Financial Services Compensation Scheme (FSCS).
Additional Benefits
- Loyalty bonus rates of up to 0.10% extra are available for reinvesting Fixed Term savings customers.
- You can set savings goals and track your progress through the app.
In summary, OakNorth Bank’s savings accounts are structured around different types of accounts with varying interest rates and terms, rather than tiered pricing plans. Each account type has its own set of features and benefits, but there are no free options or subscription tiers involved.

OakNorth - Integration and Compatibility
Integration with AWS
OakNorth is an AWS Financial Services Competency Partner, which means its Credit Intelligence Suite is fully compatible and deployable on Amazon Web Services (AWS). This integration allows OakNorth to leverage AWS services such as Amazon CloudWatch, Amazon Simple Storage Service (Amazon S3), and Amazon SageMaker. These tools enable OakNorth to train and test new models quickly, release software updates frequently (now weekly instead of monthly), and maintain high transparency and compliance for its clients.Mambu Core Banking Platform
OakNorth uses Mambu’s cloud core banking platform for its banking operations. This platform provides the necessary infrastructure and APIs to offer flexible business loans and other financial products to small and medium-sized enterprises (SMEs). The Mambu platform allows OakNorth to bring new products to market quickly, often in days rather than weeks, and to adapt swiftly to customer needs.Machine Learning and AI Tools
The OakNorth Credit Intelligence Suite incorporates machine learning and AI tools to analyze financial documents, detect anomalies in financial statements, and identify predictive factors for growth, revenue, and costs. This suite is composed of ON Portfolio Insights, ON Credit Analysis, and ON Portfolio Monitoring, which work together to provide a comprehensive view of borrowers and portfolios. These tools integrate with various data sets, including unconventional and previously unavailable data, to enhance credit analysis and monitoring.Marqeta Platform for Commercial Cards
OakNorth has also integrated with the Marqeta platform to launch a commercial card program for its business banking clients. This integration enables OakNorth to offer digital commercial cards, deposit accounts, and automation tools for bill payments, providing a more holistic view of finances and better cash flow management for SMEs.Cross-Platform Compatibility
Given its cloud-based architecture, OakNorth’s services are accessible across various devices and platforms. The use of AWS and Mambu’s cloud infrastructure ensures that the platform can be accessed securely and efficiently from different locations and devices, making it highly compatible with modern business needs.Conclusion
In summary, OakNorth’s integration with AWS, Mambu, and other AI-driven tools, along with its compatibility across different platforms and devices, positions it as a highly adaptable and efficient solution for commercial lending and financial services.
OakNorth - Customer Support and Resources
Contact Options
For general queries, you can contact OakNorth’s customer support team via phone on 0330 380 1181, available from 9am to 5pm, Monday to Friday, excluding bank holidays. This line is also available for reporting fraud or lost/stolen cards on a 24/7 basis for business banking customers.
Email Support
You can also email OakNorth for any personal savings or business-related questions, and they will get back to you.
Physical Address
If you prefer to write or visit, OakNorth Bank is located at 6th Floor, Ship Canal House, 98 King Street, Manchester, M2 4WU.
FAQs and Resources
OakNorth has a comprehensive FAQ section on their website where they address many commonly asked questions. It is recommended to check this section first before contacting their support team.
AI-Driven Finance Tools Support
OakNorth’s AI-driven platform, such as their Credit Intelligence, is supported by advanced data analytics and machine learning. This technology allows for continuous monitoring of loan portfolios, predicting borrowers’ financial positions, and identifying industry-related risks. While the platform is highly automated, it is still backed by experienced credit and risk teams who can provide personalized support and insights.
Complaint Handling
If you have any complaints, OakNorth has a dedicated process for handling them. You can contact their Customer Services Team using the same phone number or by writing to them. They are committed to resolving issues promptly and fairly.
Additional Resources
OakNorth provides various resources, including a blog that offers insights into how they use data and AI in their lending decisions. This can be particularly useful for understanding the technology behind their finance tools and how it benefits their customers.
By leveraging these support options and resources, OakNorth ensures that their customers have the assistance they need to make the most of their AI-driven finance tools.

OakNorth - Pros and Cons
Advantages of OakNorth’s AI-Driven Finance Tools
OakNorth’s AI-driven finance tools, particularly the OakNorth Credit Intelligence Suite, offer several significant advantages:Enhanced Credit Decisions
The OakNorth Credit Intelligence Suite uses machine learning to provide a granular, forward-looking view of both borrowers and portfolios. This includes analyzing financial documents, detecting anomalies in financial statements, and identifying predictive factors for growth, revenue, and costs. This approach enables lenders to make more informed and accurate credit decisions.Comprehensive Data Analysis
The platform integrates rich and dynamic data sets, including unconventional and previously unavailable data, to offer a 360-degree view of borrowers. This includes sector insights, peer analysis, and historical trends, allowing for better risk assessment and loan monitoring.Agility and Scalability
OakNorth’s cloud-native infrastructure provides the reliability, resilience, and flexibility needed for rapid innovation and growth. This allows the bank to onboard large numbers of new customers without capacity limitations and supports business continuity under all circumstances.Improved Efficiency
The use of APIs and reusable business capabilities reduces the workload on developers and IT teams, enabling them to innovate faster. This API-led connectivity strategy also supports the rapid transformation and growth of the bank.Better Risk Management
The platform enables detailed stress testing and scenario analysis, which was particularly beneficial during events like the COVID-19 pandemic. OakNorth was able to run multiple portfolio stress tests quickly, allowing them to continue lending confidently and responsibly.Enhanced Customer Experience
Relationship managers can structure bespoke loans more quickly, often in days or weeks, which improves the customer experience. The intuitive user interface is designed for critical users such as Relationship Managers, Credit Analysts, and Portfolio Managers.Disadvantages of OakNorth’s AI-Driven Finance Tools
While OakNorth’s AI-driven finance tools offer numerous benefits, there are some potential drawbacks to consider:Dependence on Technology
The heavy reliance on technology and data analytics means that any technical issues or data inaccuracies could impact the decision-making process. However, OakNorth emphasizes the complementary role of technology alongside experienced credit and risk teams.Regulatory and Compliance Challenges
Although OakNorth has successfully navigated regulatory requirements, the integration of new technology and data sources can sometimes pose compliance challenges. However, the bank has demonstrated its ability to meet high regulatory standards.Training and Adoption
Implementing such advanced technology may require significant training for relationship managers and credit officers. OakNorth addresses this through the OakNorth Academy, a training program for its clients.Limited Human Oversight
While the system is designed to augment human decision-making, there might be concerns about the level of human oversight in certain automated processes. However, OakNorth ensures that their highly-skilled Credit and Risk teams remain integral to the decision-making process. By weighing these advantages and disadvantages, potential users can gain a clear understanding of how OakNorth’s AI-driven finance tools can benefit their lending and credit analysis processes.
OakNorth - Comparison with Competitors
When Comparing OakNorth in the Finance Tools AI-Driven Product Category
When comparing OakNorth in the finance tools AI-driven product category, several key aspects and competitors come into focus.
Unique Features of OakNorth
OakNorth stands out for its innovative use of technology and data analytics in commercial lending. Here are some of its unique features:
- Advanced Data Analytics and Machine Learning: OakNorth uses machine learning algorithms to analyze a wide range of data points, including financial statements, market trends, and macroeconomic indicators. This enables more accurate credit risk assessment and informed lending decisions.
- OCR/NLP for Financial Documents: OakNorth’s platform utilizes Optical Character Recognition (OCR) and Natural Language Processing (NLP) to ingest and analyze financial documents, detecting anomalies and identifying predictive factors for growth, revenue, and costs.
- Focus on SMEs: OakNorth specializes in serving small and medium-sized enterprises (SMEs), a segment often underserved by traditional banks. This focus allows OakNorth to offer flexible financing options and build a loyal customer base.
- Agile Operations: Unlike traditional banks, OakNorth operates on a modern, agile infrastructure that allows it to quickly adapt to changing market conditions and customer demands.
- Strong Risk Management: OakNorth has a robust risk management framework to mitigate credit, operational, and regulatory risks, ensuring a healthy loan portfolio and long-term sustainability.
Competitors and Alternatives
HSBC, Barclays, and Lloyds Banking Group
These traditional banks offer a wide range of financial services but lack the specialized focus on SMEs and the advanced AI-driven analytics that OakNorth provides. They have larger customer bases and a more extensive global presence, but their legacy systems can make them less agile compared to OakNorth.
Revolut
Revolut, a fintech unicorn, offers innovative digital banking solutions but focuses more on consumer banking rather than commercial lending. While it competes in the broader financial services market, its product suite is different from OakNorth’s specialized lending solutions.
Baseline Financial Technologies and One Finance
These companies have a larger market share in the banking category compared to OakNorth, but they do not specialize in the same AI-driven commercial lending space. Baseline Financial Technologies and One Finance have more customers globally, but their products do not match the specific niche that OakNorth serves.
Market Position and Customer Base
OakNorth has a relatively small market share in the banking category, with only 9 customers compared to larger competitors. However, its focus on SMEs and its innovative use of AI and data analytics make it a significant player in its niche market. OakNorth’s customer base is primarily in the United Kingdom, where it has established itself as a key player in commercial lending.
Conclusion
OakNorth’s unique features, such as its advanced data analytics and machine learning capabilities, make it an attractive option for SMEs seeking commercial lending solutions. While it faces competition from traditional banks and other fintech companies, its specialized approach and agile operations set it apart in the market. For those looking for alternatives, traditional banks may offer broader services, but they lack OakNorth’s specialized focus and technological edge.

OakNorth - Frequently Asked Questions
Frequently Asked Questions about OakNorth’s AI-Driven Finance Tools
Q: How does OakNorth use AI in its lending decisions?
OakNorth uses a data-driven approach called OakNorth Credit Intelligence, which leverages AI to provide a forward-looking view at both the borrower and portfolio level. This system analyzes data across 273 industries and industry forecast models, incorporating scenario analysis, historical trends, and peer performance to make informed lending decisions.Q: What kind of data does OakNorth collect and analyze for its credit decisions?
OakNorth collects and analyzes a vast amount of data, including macroeconomic and financial data, to provide a macro view of the markets. This data includes revenue, costs, order volumes, and other key metrics from over 122,000 loans and 60,000 private companies. This holistic approach helps in predicting the borrower’s financial positions and industry-related risks in real-time.Q: How does OakNorth’s AI system help in managing risk?
OakNorth’s AI system helps in continuous monitoring of the loan book to predict the borrower’s financial positions and industry-related risks. It conducts regular stress tests, such as those performed during the COVID-19 pandemic, to assess potential risks and adjust lending strategies accordingly. This proactive approach enables lenders to manage risk more effectively and continue lending confidently.Q: What role do relationship managers play with OakNorth’s AI-driven dashboards?
Relationship managers use OakNorth’s dashboards to maintain a 360-degree view of global industrial sectors. These dashboards provide insights into specific drivers in these sectors, helping relationship managers to prioritize communications with clients, identify opportunities for additional debt financing, and make more accurate portfolio forecasts. This ensures they are well-informed and can make better decisions.Q: How does OakNorth’s technology handle unstructured data in SMB lending?
OakNorth’s technology is capable of standardizing and automating the underwriting process for unstructured data, which is common in SMB lending. Unlike structured data used in micro-lending or retail, unstructured data requires more sophisticated AI tools to evaluate and make decisions. OakNorth’s system automates this process, making it more efficient and accurate.Q: Can OakNorth’s AI replace human credit and risk teams?
No, OakNorth’s AI does not replace human credit and risk teams. Instead, it complements their work by providing granular data and intelligent insights. The AI system frees up the time of highly-skilled credit and risk teams, allowing them to focus on understanding the unique needs of customers and making better decisions based on both historical outcomes and forward-looking views.Q: How has OakNorth’s AI-driven approach impacted its lending during economic crises?
During economic crises, such as the COVID-19 pandemic, OakNorth’s AI-driven approach allowed the bank to quickly assess risks and continue lending confidently. By running detailed stress tests and scenario analyses, OakNorth was able to refine its lending strategies and complete almost £3 billion of new lending in 2020/21.Q: What is the minimum loan amount that OakNorth provides for business finance?
OakNorth provides business finance starting from £1 million.Q: How often does OakNorth update its credit analysis and monitoring?
Traditionally, commercial lending operates on an annual cycle, but with OakNorth’s AI capabilities, credit analysis and monitoring can be done more frequently, such as monthly or quarterly. This allows for more proactive and ongoing underwriting and risk management.Q: How does OakNorth ensure the accuracy and reliability of its AI-driven insights?
OakNorth ensures the accuracy and reliability of its AI-driven insights by combining robust data and analytics with the expertise of its highly-skilled credit and risk teams. The system is continuously refined based on historical outcomes and forward-looking views, ensuring that the insights provided are as accurate and reliable as possible.