September 21, 2024 | 12:00am
MANILA, Philippines — E-wallet leader GCash is stepping up its credit program with the launch of nano loans, lending as low as P100 for low-income users in need of immediate cash to cater to their basic needs.
GCash appears nowhere close to stopping its expansion in the credit segment, as it introduced an extended feature of its flagship lending GLoan, called GLoan Sakto.
GLoan Sakto extends loanable amounts of P100 and P300 — payable in 14 days — and borrowers will be charged zero interest.
However, borrowers have to pay a processing fee of P6.50 for a P100 credit and P19.50 for a P300 loan. Eventually, GCash wants GLoan Sakto to serve as a stepping-stone for Filipinos to build up their credit score in line with efforts on financial inclusion.
The target, according to GCash, is to introduce GLoan Sakto borrowers to the core loan products of GCredit, GGives and GLoan. With this, the e-wallet expects more Filipinos to be brought into the formal financial system.
GCash’s lender Fuse Lending Inc. believes the nano loans would help low-income customers of the e-wallet gain access to a financial product to buy their essentials.
Fuse Lending president and CEO Tony Isidro also sees GLoan Sakto as an alternative to some of the informal but onerous sources that Filipinos turn to in times of emergency.
“With this new financial tool, we are not only addressing their immediate needs, but also helping our users build a good credit history,” Isidro said.
Be the first to comment