GCash, a leading finance app, has expanded its GLoan with an extended feature called GLoan Sakto, aiming to empower underserved Filipinos and help them access day-to-day essentials. The fintech innovation, designed to support the D&E sectors, allows users to apply for loans as low as PHP 100. The GLoan Sakto reflects GCash’s commitment to developing financial solutions that help many Filipinos meet their everyday needs and achieve long-term economic well-being. The 2021 Financial Inclusion Report of Bangko Sentral ng Pilipinas (BSP) shows that 43% of the adult population relies on informal sources for borrowing money, highlighting the urgent need for more inclusive financial solutions.
This is the financial gap that GCash aims to bridge with GLoan Sakto. Filipinos will benefit from GCash’s nano loans by gaining quick and easy access to funds for daily essentials without relying on informal sources or straining personal relationships. This service offers a structured and reliable way to manage small, urgent financial needs, enhancing financial inclusion and convenience.
Loanable amounts for GLoan Sakto are P100 and P300, payable within 14 days. No interest is charged on the loan, and borrowers only pay processing fees of P6.5 and P19.5, respectively. More than just a loan product, GCash envisions GLoan Sakto as a stepping stone for Filipinos toward lasting financial freedom. It is the first step in helping users build their creditworthiness, eventually graduating them to GCash’s core loan offerings, such as GCredit, GGives, and GLoan, and integrating them further into the formal financial system.
“GLoan Sakto represents our commitment to empowering ordinary Filipinos with essential financial tools by providing them access to formal credit through this easy entry-level loan product. With this new financial tool, we are not only addressing their immediate needs but are also helping users build a good credit history,” said Fuse Lending president and CEO Tony Isidro.
The launch of GLoan Sakto, Fuse, and GCash has marked a transformative leap in the lending landscape in the Philippines by seamlessly integrating accessible, nano-sized loans into the everyday financial practices of millions, especially the lowest income segments of Filipino society, with 89% of users coming from the D&E market segments, 78% of which reside outside the National Capital Region. GLoan Sakto has broadened financial inclusion and empowered individuals with the tools needed for personal growth and stability. This innovative solution has significantly boosted lending activity, driving economic participation and fostering a more dynamic, resilient financial ecosystem in the country.
For instance, 3 out of 4 first-time borrowers return for additional loans, setting a new standard for financial integrity and customer confidence, especially in lending. Likewise, 9 out of 10 borrowers repay their loans on time despite having no prior formal credit line, and 15% of unique borrowers have already taken out more than five loans. By enabling Filipinos to quickly and conveniently borrow loans using only their mobile phones, GLoan Sakto has simplified the borrowing process and cultivated a renewed sense of trust among borrowers, demonstrating a commitment to responsible lending and contributing to a more credible and inclusive financial landscape.
As GCash continues its mission to foster financial inclusion, GLoan Sakto stands as a significant milestone, particularly in serving the most marginalized sectors of society. It is a powerful tool in GCash’s ongoing effort to strengthen its role in nation-building through financial empowerment.
For more information on how to get started, visit www.gcash.com.
