Neobank Tonik has joined forces with alternative credit scoring company FinScore to enhance digital banking for underbanked people in the country.
Under the tie-up, FinScore’s AI-powered Telco Data Credit Scoring technology will be integrated into the digital banking platform of Тonik.
Credit score based on Telco data is said to utilise over 400 telco variables, including data and voice usage, top-up patterns, location, and SIM age.
Tonik hope that this partnership will allow it to provide Filipino customers with a ‘more efficient, secure, and accurate’ way of processing loan applications via its mobile app.
Commenting on the partnership, Tonik founder and CEO Greg Krasnov said: “Operating in a digital-savvy market with huge smartphone penetration, FinScore’s telco data technologies will enable us to reach and provide loans to more Filipinos.
“Doing so is key to forwarding our mission of accelerating financial inclusion in a country where majority of the population are underserved and unbanked due to lack of innovation-driven alternatives.”
FinScore country manager and chief strategy officer Christo Georgiev remarked that the partnership addresses the growing demand for fintech solutions in the country and boosts financial inclusion.
He added: “Credit Scoring For All. This is our commitment since we started FinScore. And the word ‘all’ encompasses not only the unbanked market but also institutions just like Тonik that aspire to reshape how Filipinos experience saving and borrowing money with their innovative, all-digital banking services.”
Tonik started its commercial operations in November last year, under its own bank license from Bangko Sentral ng Pilipinas for retail banking services.
The neobank is gearing up to roll out its digital banking platform in the Philippine market in the first quarter of this year.
This platform will offer a range of services including transactional savings accounts and time deposits with attractive interest rates.
Last July, Tonik selected Mastercard as its payments partner as it prepares to launch its operations later this year.