The strategy, which will include search, affiliate and display, will aim to raise awareness of Provident's home credit products that provide small, unsecured cash loans - from £50 to £500.
Sarah Bacon, digital marketing manager of Provident Personal Credit, said: "We have some aggressive targets in place for sales lead generation. With online communications becoming more sophisticated, we felt it necessary to provide a more compelling online offering.
"LBi's full-service approach and experience in large affiliate programmes were key factors in our decision. We are confident LBi's skills in creative design will aid us in reaching new customers through online media."
Chris Lewis, media account director at LBi, added: "Major brands are looking beyond traditional marketing techniques and relying on digital communications to reach their audiences."