CREDIT CARD consumers in the country are becoming more at home with digital transactions, with more of them accessing online services for big services like travel and lodging, according to Citibank NA’s Philippine Branch (Citibank Philippines).
“More than 50% of our customers that are coming into credit cards are coming through digital channels, and more than 70% of our loans are now acquired through digital channels,” Citibank Philippines Managing Director and Consumer Business Manager Manoj Varma said at the launch of the Citi PayAll service held in Makati on Tuesday.
The bank said the increase in digital transactions coursed through their credit cards is in line with the central bank’s target to turn the country into a cash-lite society.
“We are very much sold on supporting the central bank and the government in its inclusion and its digitization efforts. We are very much committed to helping achieve [their target] in the coming years,” Citibank Philippines Chief Executive Officer Aftad Ahmed said at the event.
Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno has said they are targeting to have 20% of the total volume and 30% of the total value of transactions in the country done digitally.
Mr. Diokno also wants 50% of transaction volumes in the country done digitally by the end of his term in mid-2023.
Citibank Philippines said Citi PayAll will cater to consumers that need to use their cards for large purchases.
“Naturally, you would see the largest payments happen on things like travel, lodging. On large ticket purchases, things like appliances that they want to buy for their house,” Mukul Sukhani, Cards and Loans Head, Global Consumer Group at Citibank Philippines, said during the event.
Meanwhile, Citi PayAll, which can be availed through the bank’s app, will allow users to pay for specific big payments including rents, school fees, general insurance policies, and professional fees via their credit card. Every payment will give customers either miles that they can use for traveling or cash backs, depending on their choice.
“We have flexible payment options set starting six months and go all the way up to actually 48 [months]…you can even choose to make the payment immediately,” Mr. Sukhani said.
Customers that opt to use Citi PayAll have a maximum limit of P200,000 per transaction with transaction fees of up to three percent per usage. Every month, up to six transactions with aggregate amount of P1 million will also be allowed. — L.W.T. Noble