CIMB Bank Philippines Inc. announced on Thursday that it has partnered with Lalamove Philippines Inc. to provide a digital revolving credit access to the latter’s drivers for day-to-day needs and emergencies.
With the partnership, qualified Lalamove drivers can get a revolving credit-line of up to P250,000, which can be convert into cash or a term loan, use it to pay bills, and soon, shop online through a virtual debit card, at low interest rates, Lalamove’s statement read.
“We are all about consistently innovating to provide meaningful digital financial solutions that address a real need and solve pain points for Filipinos, especially those who are in the informal economy, where access to credit is just so difficult,” CIMB CEO Vijay Manoharan was quoted in the statement as saying.
“We want to help hardworking Filipinos, like Lalamove’s partner drivers, have easier access to credit to be able to better fulfill their needs, get ahead, and earn more for themselves and their families. We are able to do so through an innovative solution in the form of REVI Credit, CIMB’s ‘buy now, pay later’ product,” Manoharan added.
Through the credit line, Lalamove drivers are given more flexibility over how to access, as well as use, the credit given to them. They can easily pay for bills and, soon, online goods upfront on credit and pay over a period of time.
It also lets them withdraw cash from their credit line to their CIMB Bank savings account. In addition, they can convert up to 70 percent of their credit limit into a term loan, which they can pay at flexible terms and low interest rates.
The partnership also entails CIMB Bank providing for free to qualified Lalamove drivers a personal accident insurance of up to P50,000. “A lot of our partner drivers often need emergency cash, usually for unforeseen health, accident and personal emergencies,” Lalamove Managing Director Dannah Majarocon was quoted in the statement as saying. “With them having access to REVI Credit, and of course, the insurance, our partner drivers can breathe easier. They will always have something to tap in cases of unanticipated needs.”
Qualified Lalamove drivers are pre-selected for the said credit line, the application process of which is also fully digital, Majarocon explained.
Aside from the credit line, the partnership will also give a driver a saving account that doesn’t require a minimum balance.
“We intend REVI Credit to serve everyday Filipinos, especially those who do not have easy access to credit products. We want to change access to credit in a big way. Through our partnership with Lalamove, we get to serve this segment. By providing them with easy access to credit, a market-leading savings interest rate of 5 percent on their deposit accounts, and a free personal accident insurance, we are able to give Lalamove’s partner drivers the great banking experience that they deserve,” Manoharan said.