After securing more than 1.73 million customers just months after receiving its certification to operate from the Bangko Sentral ng Pilipinas (BSP), UnionDigital Bank is now focusing its efforts on developing new fintech products that will serve the underserved market.
Arvie de Vera, CEO of UnionDigital emphasized the need to start offering loan products not only to assist businesses but also because “loans generate revenues and actual profit.”
“We want to focus our capital on where we can earn the most because it will drive profitability and sustainability to allow us to scale for the future to allow us to carry out our bigger vision of a financially inclusive, Tech’d Up Pilipinas for all Filipinos,” De Vera said.
The BSP granted the Aboitiz-led digital bank a Certificate of Authority (COA) to operate as a digital bank on July 12, 2022.
UnionDigital harnesses the data from its parent company Union Bank of the Philippines to create embedded banking services create custom financial services for clients in the Philippines.
“Our ecosystem strategy and the ability to properly leverage data and technology is the driving force behind our success. Again, unlike other lenders who are trying to lend based on new data, trying to determine their capacity and willingness to pay, we take a more sure path to lending,” De Vera said. “By using alternative and existing transactional data that we already have, we and only we have the power to take all that data and monetize it through lending.”
These pieces of information enable UnionDigital to track the uncatered market as well as customers were eligible for other fintech services.
“As the digital bank grows, it will expand outwards toward more communities until it successfully fulfills its mission of bringing financial inclusion to the entire Philippines,” De Vera said.