Consumers, not “fintechs”, are disrupting financial services industry. Speaking at the IDC Financial Services Summit, Lito Villanueva, Managing Director of Voyager’s FINTQ, underscores the need for banks and other financial institutions to embark on digital transformation to address consumer needs.
[29 NOVEMBER 2016] This was highlighted by an executive of Voyager Innovations, PLDT and Smart’s digital innovations arm, at the recently held IDC Financial Services Summit at the Shangri-la at the Fort in Manila.
In his session, Lito Villanueva, managing director of Voyager’s financial technology arm FINTQ, zeroed-in on the current fast pace of financial services forcing banks to re-think, re-calibrate and reconsider a digital pivot.
“Consumers are the ones dictating the pace of change, and they themselves are the ones disrupting all industries, banks included. We must be agile with an open framework to address the changing needs of customers and requirements of regulators,” said Villanueva, the only Filipino fintech expert invited to speak at the plenary on moving banking to an innovations platform.
He further emphasized that while banking can be at the center of the digital transformation, financial organizations must evolve from the traditional closed-loop systems to an open architecture to keep up with market challenges, as well as enable integration from third parties and facilitate faster time to market execution with new differentiating products and services.
“Knowing who the customer is defines your business but understanding the customer’s needs fully well defines your business success,” Villanueva stressed.
Banks’ digital transformation is a “must” to respond to the increasingly demanding digital consumer. “Every enterprise or business endeavor must be on the ‘front screen’ of every customer’s smartphone with a promise of a delightful user experience,” Villanueva added.
Villanueva presented data from FINTQ’s successful deployment of its pioneering digital lending platforms such as the LANDBANK Mobile Loan Saver and Lendr. Aside from exponentially growing its volume and base, FINTQ’s digital lending platforms are expected to close the year with over P10.4 billion in loans disbursed and more than 100,000 borrowers.
FINTQ’s digital lending platforms have extended the reach of partner financial institutions, leveraging on mobile devices as the pervasive customer touchpoint. Almost 50% of borrowers lodged their loan applications outside office hours.
Around seven out of ten borrowers were from the provinces and as much as 35% of them are from low-income cities and municipalities. Over the past ten months, the growth of the loan portfolio running on the digital platform showed very encouraging figures contributing to government efforts in promoting financial inclusion in the countryside. Loan portfolio growths in Luzon, Visayas and Mindanao were registered at over 400%, almost 150% and over 250%, respectively.
The IDC Financial Services Summit was presented by the FIS and the IDC Financial Insights of Singapore. The event focused on exploring the era of digital transformation in the banking industry. It highlighted the need for financial institutions to be bold in their approach to architect infrastructure and systems with a digital transformation mindset and embrace collaboration with new partners. It gathered key executives from various financial institutions in the country. Among the speakers include leaders from Samsung Pay, OCBC, FIS, Capco and BSP.
Villanueva was among the Top 100 Asian Fintech Leaders, the first and only Filipino included in the list. FINTQ is part of Voyager Innovations, the digital innovations arm of PLDT and Smart, that creates platforms and services for emerging markets. Aside from financial technology, some of the areas of its focus include digital financial services, digital payments, digital commerce, sponsored internet access, communications technology, and digital marketing. END
TOWARD A SMARTER WAY TO APPLY FOR SALARY LOANS. Just launched: PNB Savings Bank’s Smart Salary Loan digital lending facility powered by Lendr. Now, employees of PNB’s partner companies may take out a loan via their digital devices anytime, anywhere. Lendr is powered by FINTQ, the financial technology arm of PLDT’s Voyager Innovations. In photo are (from left) Manuel V. Pangilinan, PLDT-Smart Chariman, President and CEO; Orlando B. Vea, Voyager Innovations President and CEO; Joven Hernandez, PNB Savings Bank President; Flor Tarriela, PNB Chairman; and Lito M. Villanueva, Managing Director for FINTQ at Voyager Innovations.
[25 NOVEMBER 2016] PNB Savings Bank, a wholly owned subsidiary and the consumer arm of Philippine National Bank (PNB), together with Voyager Innovations, the digital innovations arm of PLDT and Smart, recently launched the Smart Salary Loan service to enable quick and convenient loan application and approvals via any mobile device.
Through Lendr (www.lendr.com.ph), PNB Savings Bank will initially be offering its Smart Salary Loan product to qualified employees of the Lucio Tan Group of Companies, one of the largest and most diverse conglomerates in the country.
Lendr, the digital lending platform of Voyager’s financial technology arm FINTQ, provides a convenient and hassle-free mobile-enabled system that allows employees to apply for a loan and get quick approvals through any digital device, anytime, anywhere.
“With Lendr, this digital innovation will show PNB’s expertise in customer-focused loan products made for every Filipino here and abroad. This is PNB’s digital transformation – for our customers to be capable in the present and ready for the future,” said Flor Tarriela, PNB Chairman.
“It is time to start our people and our financial institutions on their digital journey. And we, at PLDT, as part of the country’s leading institutions, are partners in bringing the best of this era to all of them. Some of those include convenience, efficiency, empowerment, and inclusiveness through mobile technology and the payment systems that we’re enabling as well,” said Manuel V. Pangilinan, PLDT and Smart Chairman, President and CEO.
Convenient loan applications
Some of the companies participating in the program include PNB, Philippine Airlines, Asia Brewery Inc., Tanduay, Lufthansa Technik Philippines, ETON, among others.
By bringing salary loan applications to the digital space, Lendr will save employees the trouble of having to fill up long forms, filing several requirements, and lining up for long hours at the bank. In just a few short steps, employees may get the loan when they need it the most.
Employees need to register for a Lendr account, fill up basic information and upload an image of their requirements in order to apply for a Smart Salary Loan. Once approved, they will be notified via text message of the loan’s availability which they may track and manage.
By bringing salary loan applications to the digital space, Lendr will save employees the trouble of having to fill up long forms, filing several requirements, and lining up for long hours at the bank just to get a loan when they need it the most.
Employees only need to click on the special link they will receive via a text message, register for a Lendr account, fill up basic information and upload their documentary requirements in order to apply for a Smart Salary Loan. Once approved, they will be notified via text message of the loan’s availability. Theywill be able to track and manage their monthly repayments via Lendr as well.
The new digital lending facility through Lendr is in line with the thrust of PNB Savings Bank, as well as its parent company PNB, to become an innovation leader in the financial services space as it celebrates 100 years of banking leadership this year.
“This is PNB Savings Bank creating value and enriching lives, helping employees grow as individuals, families, and communities, and making their dreams possible through an easy-to-use digital salary loan application system that is open 24/7,” said Joven Hernandez, PNB Savings Bank President.
“Lendr turns every mobile phone in the pockets of employees into a virtual PNB Savings Bank branch, allowing them to apply for loans in times of urgent needs. In this digital age, speed and convenience are the key to winning customer delight, and we are glad that PNB Savings Bank has taken the first steps toward this digital transformation,” added Orlando B. Vea, Voyager Innovations President and CEO.
Fintech collaborations in industry
This latest collaboration with PNB Savings Bank is the best example of “finbiosis,” or the mutually beneficial relationship between banking institutions and financial technology upstarts, according to Lito M. Villanueva, Managing Director at FINTQ.
“Consumers continue to disrupt the way many companies operate, banks included, as they demand speed and convenience at the tap of their digital screens. We are glad that PNB Savings Bank has taken an open framework approach to addressing this sea change in the consumer landscape by partnering with FINTQ to bring such propositions to life,” Villanueva said.
“The National Retails Payments System envisions a robust and interoperable payment system that enables efficient and cost effective digital transactions. Lendr is an initiative that supports this vision by providing a platform for people to link with their financial providers in a convenient manner regardless of time and location,” said Bangko Sentral ng Pilipinas Deputy Governor Nestor Espenilla, Jr.
FINTQ’s digital lending platforms have extended the reach of partner financial institutions, leveraging on mobile devices as the pervasive customer touchpoint. Based on data from ongoing digital lending programs running on FINTQ platforms, mobile has allowed almost 50 percent of borrowers to lodge their loan applications outside office hours, and extended the reach of banks to remote cities and municipalities nationwide.
FINTQ is the financial technology arm of Voyager Innovations. Aside from fintech, some of the areas of Voyager’s focus in creating platforms and services for emerging markets include digital financial services, digital payments, digital commerce, sponsored internet access, communications technology, and digital marketing.
To know more about PNB Savings Bank’s Smart Salary Loan offer for employees, visit www.pnbsavings.com.ph or call PNB Savings Bank Customer Care at (02) 652-PNBS (7627). Get to know more about Lendr by visiting www.lendr.com.ph. [END]