The credit card arm of Rizal Commercial Banking Corp. (RCBC) was honored at the Global Retail Banking Innovation Awards 2021 for its innovative efforts to promote its digital cash loan.
During the recent awarding exercise, global financial media outfit Digital Banker awarded RCBC Bankard Services Corp. with the “Outstanding Personalized 1:1 Marketing Initiative” for its Digital Cash Loan project.
The Digital Banker is a globally trusted news, business intelligence, research, and awards body, servicing the worldwide financial services sector.
In the past year, Digital Banker received over 1,000 submissions from banks in awards programs that cover over 20 global awards and 70 regional awards across 60 countries.
RCBC Bankard’s Digital Cash Loan project is a marketing initiative that communicates the bank’s personalized rates and offers by sending customized and sustaining messages to the firm’s target base via SMS and electronic direct mail. Digital Cash Loan stood out among the other banks’ offers because apart from the 1 to 1 personalization, the process is fully digital, straight through, approval is real-time, and the loan proceeds are disbursed in as fast as one day.
With the digitalization of the application form, cardholders who have received the targeted messages can readily apply for a loan product via their mobile phone or computer web browser.
“The project was initiated with the objective of empowering cardholders to avail of cash using their available credit limit. Through the digital cash loan link, cardholders can choose the term and the amount that they want to convert as cash and the proceeds will be deposited to their preferred bank account in as fast as just one day,” said Arniel Vincent B. Ong, RCBC Bankard Services Corporation Pres. and CEO said.
The program sends a unique link to the cardholder’s registered mobile number and via email to the cardholder’s registered email address.
The information on the available limit that can be converted to cash, the affordable monthly amortization, and the low-interest rate are indicated in the message. To help in his decision-making, the allowable loan amount and applicable interest rates specific to his account are indicated.
Unlike the cash loan facilities offered by other banks or issuers, the cardholder is not required to download an app, log in to an online banking account, or call the Customer Service Hotline to use the Digital Cash Loan facility.
Since the project’s launch in 2020, RCBC Bankard generated a total of P144.3 million in billings from cash loans just through this project.
By adding personalized marketing offers, Cash Loan average ticket size grew by 26 percent, from an average loan amount of P95,000 to P120,000.
“Moving forward, the Digital Cash Loan facility will be used for other loan products and not just cash. RCBC Bankard is also looking at adding more channels where the Digital Cash Loan link can be embedded apart from SMS and email,” Mr. Ong further said.