Thai app FINNIX uses AI for financial inclusion

Thailand-based digital lending app FINNIX has partnered with ADVANCE.AI to improve customer onboarding and financial inclusion across the country.

The FINNIX mobile app, which is regulated by the Bank of Thailand, was developed by MONIX and offers micro-finance loans through a fully digital process from loan application to approval and disbursement. The app targets Thai consumers who previously did not have a bank account and gives them the ability to apply for credit directly from their smartphone.

To enhance its electronic KYC (Know Your Customer) capabilities, FINNIX engaged Singapore-based ADVANCED.AI and leveraged its eKYC solution. eKYC uses artificial intelligence (AI) technology to help FINNIX meet regulatory biometric requirements while making it easier for underbanked people in Thailand to verify their identity and obtain loans.

The verification process involves taking a selfie and creating a scan of a Thai national ID card using a smartphone.

MONIX officials said in the official press release that trust is a key factor in the fintech industry, especially in the context of lending money. This trust goes both ways, as companies need to know who they are paying money to and how they are going to get it back, while users need to know that their personal information is stored securely.

Official representatives of ADVANCE.AI discussed recent improvements in artificial intelligence and highlighted how traditional customer onboarding, compliance and credit decision processes can be implemented in a convenient yet secure manner. for the consumer and the financial institution.

Financial inclusion Southeast Asia

According to macquarie.com, 45% of Thai adults are underbanked and 18% are unbanked, including low-income consumers or micro or small medium enterprises operating outside the banking system.

The same report points out that, while it was previously impossible to lend to unbanked consumers and businesses because they had little or no credit history, the use of digital alternatives to traditional financial products allows providers to collect data on users’ financial management and spending habits. overtime. This information can then be used to make future product and loan decisions.

By giving people access to savings, microloans and insurance products, fintechs have the potential to improve the financial well-being of the population while promoting access to finance for education and training. When it comes to businesses, digital payments can help manage cash flow, prove creditworthiness, and attract new customers.

Financial inclusion at the national level is linked to new business opportunities, new jobs and increased living standards. According to the World Bank, access to mobile and digital payments are necessary elements for a nation’s financial inclusion.

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