Fronted, a rental deposit lending platform, has raised £20m in debt and equity funding round led by Fasanara Capital.

The proceeds from the latest funding will be used to develop an app for Fronted users.

Using the app, renters will have access to Fronted’s new ‘lifetime deposit’ offering, which gives them access to new deposits when they are moving into a new place.

The new offering works by securing the return of a renter’s old deposit to Fronted and offering a new deposit in advance and full.

Renters can pay off the deposit finance within 10 weeks using a portion or the entire return of the old deposit.

Fronted CEO Jamie Campbell said: “We think asking renters to come up with another five weeks rent when they already have money protected is ludicrous. Renters should be allowed to pay a new deposit with the one they already have.

“When a renter moves between properties, there is almost always the need to pay two deposits. On average, deposits are £1,300, and renters have a double deposit overlap of 35 days.”

Fronted’s portfolio of products also includes a Deposit offering, which allows new renters to borrow a 12-month loan for rental deposit.

Fasanara Capital CEO Francesco Filia said: “The innovation that Fronted brings to the rental market can benefit all participants from renter to agent to landlord, helping remove a key friction and reducing risk. We are delighted to back yet another innovative fintech that is solving a real pain point for consumers.”