Kuala Lumpur, Malaysia – BigPay Later, a wholly owned subsidiary of Capital A’s venture company BigPay, has announced the launch of its first personal loan product. This makes BigPay the first product to have a full digital personal lending product as part of its offering in Malaysia.

As the overwhelming demand for personal loans products continues to increase, it will be rolled out to more users over the coming weeks. In addition, BigPay Later Personal Loans is currently available to selected users.

Salim Dhanani, CEO and co-founder at BigPay, said that they believe that the launch of their personal loans product is unique with the level of transparency, the ease of use and the way in which they do their credit scoring that doesn’t only look at the history of past loans, but also at customer behaviour. He added that the launch of the personal loans product brings them one step closer to bridging the financial inclusion gap.

“The pandemic has highlighted how important it is that people have access to versatile, easy-to-use financial solutions. Many underserved demographics in Malaysia lack access to the credit they need because they do not have the typically “acceptable” credit history which is required by traditional banks – this directly impacts the ability to build long term financial standing. We have always been committed to democratising financial services through accessibility and education across Southeast Asia,” Dhanani said.

Meanwhile, Tony Fernandes, CEO at Capital A, commented, “We are very proud of BigPay Later’s launch of the first digital personal loans product. BigPay has the ability to leverage Capital A’s rich database and customers that have strong loyalty to our brands. BigPay shares the same ethos and principles as Capital A and AirAsia: focusing on affordability, accessibility as well as inclusivity. We are excited that we can disrupt once again and give the common man, from SMEs, small entrepreneurs to the mass public, the same accessibility to easy, simple loans and other outstanding financial services.”

The company notes that BigPay Later’s personal loans have competitive interest rates which are lower than standard credit card rates and easier to apply for with it being an all digital process. Users can generate an instant quote using the in-app loan calculator to ensure affordability, then fill in their personal details via the app to apply. 

Additional documents are not usually required and the application can be approved within minutes. The personal product issued by BigPay Later is fully regulated by Malaysia’s Ministry of Housing and Local Government (KPKT).

Singapore – Southeast Asia’s SME digital financing platform, Funding Societies, has announced that it has raised US$18m in debt for funding led by a trio syndicate of financial institutions, including lending company Helicap Investments, the newly launched Social Impact Debt Fund, and a Japanese financial services group. Helicap Securities acted as the sole mandated lead arranger on the secured credit facility.

Helicap provides private debt investments to a wide network of accredited investors, including family offices, high net worth individuals, impact funds, and institutional investors. In line with its support of sustainable lending, FinTech joined the round through its investments arm, Helicap Investments, after the deal was arranged by its securities arm, Helicap Securities.

Together with the funding received from European impact investors such as Triodos Investment Management for Indonesian business loans, Funding Societies is on track to  raising US$120m in institutional debt for funding the growth needs of MSMEs in SEA. This funding round also expands the platform’s institutional lender base, which is secured after passing financial and risk due to diligence conducted by the lenders. 

Moreover, Funding Societies will be placing the funds for lending to deserving MSMEs, propelling its mission of enabling financial inclusion in the region.

Kelvin Teo, Funding Societies | Modalku’s co-founder and group CEO, shared that the pandemic was an important test of resilience, and we are glad to have navigated it successfully, with a proven AI-led credit model.

“We are honored for the faith of Helicap, the Social Impact Debt Fund, and the Japanese financial services group, enabling us to further ride on the growth of SME digital financing. We believe this is a start of a long-term relationship and continuous evolution of Funding Societies,” said Teo.

David Z. Wang, the co-founder and CEO of Helicap, the parent company of Helicap Investments and Helicap Securities, commented they are delighted to have assisted Funding Societies in its goal of providing access to capital for underserved MSMEs. 

“Helicap was founded with the aim of breaking down traditional barriers for those who need capital and those who can provide it. This transaction demonstrates the ongoing institutional and individual appetite for private debt investment, and Helicap is well-positioned to provide access to quality opportunities through our relationships with leading issuers such as Funding Societies,” said Wang.

Funding Societies said that the syndicated facility of US$18m is expected to increase further with interest from investors across Asia and Europe.

Singapore – Two financial services platforms dedicated to SMEs in Asia – Opal and Funding Societies – have partnered to offer Opal’s ecosystem of clients and partners in Singapore a range of financing solutions. Funding Societies specializes in providing short-term financing to SMEs, and needless to say that this will be one of the main offerings of the partnership. 

Opal is currently operating solely in Singapore and it aims to be the unified account for all of SMEs’ payments and loans in the country. It eyes to help businesses accelerate growth by simplifying cross-border payments, maximizing cost savings, and providing easier and cheaper access to trade financing & credit facilities.

Under the partnership with Funding Societies, Opal will offer Funding Societies’ range of solutions such as micro loans, term loans, and invoice financing, at a relatively lower rate and a quicker processing time. Further, to reduce the financial burden on SMEs in Singapore, Opal and Funding Societies will reduce processing fees on all disbursals up to 50% of the loan amount and offer a full waiver of the facility fee on all line products. This is alongside Opal’s main solutions of cross-border money transfer and multi-currency accounts.

Lim Ming Wang, co-founder of Opal, refers to a study by Singapore’s MAS where growth of businesses in the Lion City is forecast to be robust but uneven in 2021. 

“As a company that is focused on SMEs in Singapore, we want to be able to assist businesses at their time of growth who are looking for solutions to strengthen their cash flow,” said Lim. 

Lim adds, “We are excited about this partnership as businesses can now have access to multi-currency management, payments, and financing solutions from a single platform on Opal. As our technology is driven by the interconnectivity of these different financial-business solutions, companies will get even better rates and faster turnaround times.”

Meanwhile, Shrawan Saraogi, head of partnerships and products at Funding Societies, commented, “As a FinTech founded with the mission to uplift economies, we believe in helping SMEs obtain access to financing solutions that are easy and fair. We want to help them by providing the impetus for growth. I believe this partnership is ideal, as we would be able to support Opal’s ecosystem of clients and partners with our wide range of growth financing solutions.”

Opal is licensed in Singapore, but has clients and client counterparties in Europe, the US, Israel, and the rest of SEA.