FinTechs GoBear and CredoLab partner to bridge divide between banks and 49.5M unbanked Vietnamese

19:10 | 02/11/2018 Finance - Banking

The partnership will enable financial institutions to reach previously untapped customer segments in four of the largest unbanked markets in Southeast Asia.

Personal finance comparison website GoBear and smartphone-based alternative credit scoring provider CredoLab announced today the partnership to launch Easy Apply, a smartphone app that enables banks, financial institutions and lenders to extend credit to a larger pool of customers while keeping risks in check. The partnership signifies an important headway in making financial services accessible to 49.5M unbanked people in Vietnam.

Aside from Vietnam, the Easy Apply app will also be launched across Indonesia, Philippines and Thailand. Around 65 to 75 per cent of the population in Southeast Asia are without access to credit, despite many being creditworthy consumers.

The app will utilise CredoLab’s AI based proprietary algorithms that extract and analyse over tens of thousands of data points from applicants’ smartphones, turning these completely anonymised ‘digital footprints’ into predictive credit scorecards to be used in their credit card, loan or insurance applications. The use of non-traditional smartphone data for credit scoring provides applicants from all demographics - including the unbanked who have little to no traditional credit history – greater access to financial services such as credit cards, personal loans, and other forms of unsecured credit.

Adrian Chng, CEO, GoBear, said, “There is a massive market opportunity here in Southeast Asia to continue improving financial inclusion by constantly innovating solutions. Our partnership with CredoLab will bridge the divide between the unbanked and financial institutions by giving both parties access to the right technology at the right moment to create better outcomes.”

Bao Nguyen, Country Director, GoBear Vietnam, said, “We are very pleased that Vietnam will be one of the first markets to launch the Easy Apply app. With new technology, we will be able to help our partners to better serve the unbanked, and enable our users to access useful and affordable financial products at the same time. Improving financial inclusion and serving the unbanked consumers is very important in an emerging market like Vietnam, and we are excited to be part of this meaningful journey.”

The Easy Apply app will be an integrated part of GoBear’s user journey. It begins with GoBear’s Easy Choices feature, which helps applicants understand which set of products better suit their profile, before downloading and installing the Easy Apply app onto their smartphones to generate their predictive digital scorecards. Easy Apply will kick-off with the credit cards segment and extend to personal loans, insurance products and other lines of credit in the near future.