In support of Bangko Sentral ng Pilipinas’ (BSP) call to accelerate financial inclusion in the country, Filipino financial services company Cashalo created a new loans platform geared specifically for the underserved — and unbanked — sector of society.

Cashalo is a mobile app that aims to provide on-demand lending and other financial services designed for micro, small, and medium enterprises (MSME) and consumers who cannot open bank accounts.

“Promoting responsible and consumer-centric innovations has been the core theme of BSP’s financial inclusion initiatives,” said Chuchi Fonacier, deputy governor, Financial Supervision Sector, BSP, in a speech read by Joy Suficiencia, Joyce Suficiencia, Acting Deputy Director, Inclusive Finance Advocacy Office. “These innovations can potentially transform the lives of Filipinos by making financial services more convenient, affordable, and contextualized to their needs and aspirations.”

Cashalo is a venture of Oriente Express, the result of a partnership between JG Summit Holdings Inc. subsidiary Express Holdings Inc. and Hong Kong-based Oriente, whose founders are behind tech companies Skype and LU.com. In June 2018, both parties funded an initial investment of $200 million (around P10 billion) for the development, expansion, and operations of a suite of financially inclusive products and services.

“At the core of Cashalo is a strong social purpose, designed to empower and transform the lives of every Filipino,” said Lance Gokongwei, president and CEO of JG Summit. “The team at Cashalo is laser-focused on this goal and we’re thrilled to fully support them in our common mission to build a brighter and more inclusive future for every Juan.”

3) Cashalo executives Lance Gokongwei, Geoffrey Prentice, Hamilton Angluben with BSP representative Joyce Suficiencia (3rd)
Lance Gokongwei, president and CEO, JG Summit Holdings Inc., Geoffrey Prentice, co-Founder, Oriente, Joyce Suficiencia, acting deputy director, Inclusive Finance Advocacy Office, BSP, and Hamilton Angluben, GM of Cashalo.

MSMEs and consumers can choose from the three products Cashalo offers: CashaQuick, CashaLoan, and Cashacart.

CashaQuick allows consumers to access a loan amount as low as P1,500 using just one valid ID.

The offline to online (O2O) consumer financing product Cashacart enables consumers to access a digital credit line that will allow them to purchase several products and items across a retail network of 250 partner merchants and brands.

Consumers who will avail themselves of Cashaloan can borrow as low as P2,500 to use in their businesses. Borrowers with good credit scores can increase the loan to up to P10,000.

Hamilton Angluben, general manager of Cashalo, said the company will be able to adjust its monthly interest rate of 4.95 percent for Cashaloan and 9.95 percent for CashaQuick when the stream of users and borrowers increases.

By using the Cashalo app, which is available for download from the App Store and Google Play, consumers have access to multiple purpose-based financing options such as cash loans and consumer goods financing, among others, collateral-free service that is available 24/7, real-time credit scoring, choice of repayment schedule, and quick approval within minutes.

By Marlet Salazar

Marlet Salazar is a technology writer with a distinct focus on quantum computing, cybersecurity, and enterprise technology. In 2018, fueled by bootstrapped funding and a passion for innovation, she founded Back End News.

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