GXS Bank (GXS), Singapore’s first digital bank for consumers and businesses, is using the industry-leading capabilities of FICO® Platform to streamline its onboarding process for GXS FlexiLoan, its personal loan product. This has resulted in an onboarding time of under three minutes for the vast majority of approved GXS FlexiLoan applications.
GXS uses FICO Platform to automatically generate credit decisions in milliseconds, executing complex policy rules that utilise traditional and alternative data, to provide loans to a wider pool of consumers without compromising the bank’s credit risk appetite.
GXS leverages user-permission data from its ecosystem partners, Grab and Singtel, to expand credit access to underserved users. Utilizing data from ‘super app’ Grab, a dominant force in Southeast Asia akin to Uber in the Americas, and Singtel, a major regional telco, offers valuable insights. This ecosystem data is then layered onto information from conventional sources like credit bureau scores. By integrating these datasets, GXS enhances applicant assessments, providing more accurate evaluations and personalized interest rates.
Thanks to this innovative approach, individuals previously overlooked by traditional banks—such as those starting their careers or entrepreneurs with fluctuating incomes—can now secure loans.
“Digital banks play an important role in extending banking and credit facilities to a large and underserved group of individuals and small businesses across Southeast Asia,” said Vaman Sriraman, Group Chief Risk Officer at GXS Bank. “FICO has been an invaluable partner for us in our bid to drive financial inclusion in Singapore. FICO Platform enables us to leverage alternative data and expand our offerings. Its agile infrastructure enables us to iterate quickly while ensuring robust risk controls are in place.”
More information: https://www.fico.com/en/solutions/account-opening
Agility and Adaptability: Empowering Innovation in Digital Banking
“Introducing GXS FlexiLoan exemplifies our commitment to pioneering customer-centric solutions in the digital banking realm,” added Sriraman. “The implementation of FICO Platform in just three months was nothing short of remarkable, especially when considering the traditional timelines of up to a year for other providers’ on-premises solutions.”
FICO Platform capabilities will be deployed for upcoming credit products in Singapore as well as across the region, in Malaysia and Indonesia. The collaboration with FICO has set the stage for the GXS’ continued innovation and growth.
“FICO Platform plays a pivotal role in advancing financial inclusion by enabling banks like GXS to leverage alternative data sources and streamline credit decisioning processes,” said Nikhil Behl, EVP of sales and chief marketing officer at FICO. “Moreover, the implementation of the FICO Platform in just three months is a testament to our dedication to delivering tangible, rapid value to our clients.”
As a digital-only bank, GXS recognises the paramount importance of agility and efficiency in its operational processes. The imperative to swiftly go-live while upholding stringent risk controls posed a challenge. With the FICO Platform, GXS has been able to configure and deploy risk policies with remarkable speed and precision, utilising advanced analytics, rule design, and flow orchestration.
For its achievements, GXS Bank won a 2024 FICO® Decisions Award for Customer Onboarding & Management.
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