Digital SME Lending. CEE Region Overview

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On March 24, SME Banking Club, together with ING Bank Śląski held a webinar on the topic of the digital SME lending process in the CEE region.

At the beginning of the webinar, Olena Gryniuk (SME Banking Club) presented the author’s digital SME lending Study, which concerns the availability of lending products at banks, as well as non-banking financial organizations. This analysis was done in September-October 2021. This Study shows the possibility of applying and getting loans fully online by Micro and SME customers. The Study covered 94 banks in 10 countries (Bulgaria, Croatia, Czech Republic, Hungary, Poland, Romania, Slovakia, Slovenia, Serbia, Turkey). Study results show that 23 organizations offer online loan applications, and 12 of them have a full end-to-end digital lending process. It should be noted that this study includes a description of the main trends in digital lending and a detailed analysis of the digital process by using 20 parameters. In addition, 87% of mentioned above banks and non-banking organizations offer their digital lending process to private entrepreneurs, and 43% – to the companies.

After that, Olena Gryniuk mentioned examples of online lending processes from Moneta Money Bank and a new fintech called Limonero – both from the Czech Republic.

After that Olena together with Michał Tusznio – Executive Director of Financing Center at ING Bank Poland – a Winner of CEE SME Banking Awards 2021 & 2020 in the “Best Digital SME Lending Solution” category – discussed the online SME lending process in ING Bank Śląski.

Existing customers can apply for a loan via online banking (called ING Business), by fulfilling and sending to the bank appropriate loan application.

What are the steps of online application via ING Business?

1. Customers choose the type of loan they would like to apply for.

2. Customer inputs loan amount they would like to receive.

3. Next step – input of company data, which partially are fulfilled automatically.

4. The next step is fulfilling companies’ owners – partially are fulfilled automatically as well.

5. After that customer have to check all the information and tag consents.

6. After that customer should mark the statements and fill in financial data.

7. After checking all the fulfilled information customer sends the application to the bank.

For loan amount up to 100k EUR credit decision is done instantly.

New customers can fulfill similar online applications via Bank’s website.

It’s important to note that ING Bank Śląski is the first bank in the CEE region that introduced an online lending application for all business customer segments: private entrepreneurs, companies, and big corporations.

In the next part of the webinar, Michał Tusznio answered a series of questions about ING`s pass to the digital transformation and details of the lending process in ING Bank Śląski.

 

To learn more details, watch the full webinar below: