The last time there was a global crisis, banks were widely perceived to be a big part of the problem. This time around, banks are central to the solution.
Banks can play an immediate role in reducing the spread of COVID-19 by helping customers make better use of digital and remote channels.
Banks can help reduce the impact of the potential downturn by creating new experiences to help their clients manage debt, adjust budgets, and take full advantage of new government programs.
High customer experience means clarity and transparency, support for digital tools for many unfamiliar customers, and new products and services for customers in distress.
- Help customers go digital right now
Banks can play an immediate role in slowing the spread of COVID-19 by helping customers make better use of existing digital and remote channels.
In the current crisis, there are immediate actions banks can take to help retail and small-business customers; in particular, they can support the use of digital channels so that customers can bank from home, and they can provide extra support to borrowers in distress.
- Bring new experiences for distressed customers
In times of disaster, customer priorities change. Banks can play a major role in reducing financial distress, so that customers can use more energy in their families’ health and well-being.
Services and experiences that may be more valuable to consumers in distress include setting up a loan repayment; to enable customers to recalculate existing balance; refinancing of home equity loans to provide near-term financing; resetting budgets to reduce cost etc.
One leading Singaporean bank rapidly introduced a comprehensive solution for small and medium-size enterprises (SMEs), including six-month property-loan principal deferments, temporary bridging loans, fee rebates, new digital account-opening services, and next-day and collateral-free business loans. The bank complemented these initiatives with an online “SME Academy” to help business owners navigate the new context.
- Improve experience in ways that also address efficiency
The economic consequences of the coronavirus will increase the need for banks to improve efficiency and the customer experience. They can do so by enhancing digital self-service. Digital servicing and sales are also less expensive than branch- and phone-based approaches.
For example by providing customers with apps or links on their mobile or email with which they can make debt repayment or reconstruction of debt.
Clearly, advanced technology has a fundamental role to play in helping Banks achieve their digital ambitions and realise the vision of the ‘digital lender’. This vision is reflected in the EPIK’s advanced platform “Vanguard” and “ClickEZ”, which enables lenders to digitise their business and profit from it.
To know more about the solution drop us a mail on firstname.lastname@example.org . We would be happy to help your business grow in these difficult times.