Bank Rakyat Indonesia (BRI) has launched Ceria, a digital credit mobile app specifically designed for e-commerce transactions and aimed at millennial consumers in Indonesia.
State lender Bank Rakyat Indonesia (BRI) is hoping that the low-interest rate - a flat interest rate of 1.42 percent per month or 17.04 percent per year - offered on its newly launched app can address the needs of Indonesian millennials and make repayments less stressful for borrowers.
«Ceria is an innovative, accessible digital credit card that will appeal to Indonesian millennials who are on the cusp of new stages in their lives,» said Bank BRI’s Managing Director Sunarso, in a media statement on Monday.
End-To-End Process
While there already exists a number of local payment gateway solutions, mobile wallets, and «pay later» credit options with low credit limits in the market, Ceria marks a milestone in terms of big data for Bank BRI, as the app enables the lender to successfully offer an end-to-end process of loan origination all the way to loan facilitation. The app also allows BRI to effectively conduct credit scoring and prevent defaults.
As Indonesia's millennials are starting to establish households, families, or careers, Bank BRI’s low-interest and low-fuss credit will help them navigate these stages and help them attain better credit scores and wealth accumulation to set them up for the future, said Sunarso, who was appointed to lead the country’s most profitable bank last September.
Helping Young Families
Young consumers are increasingly wary of credit debt but data reveals a large segment is indeed financially responsible and has the potential to achieve high credit scores, according to a report by «LexisNexis». Through Ceria, Bank BRI can offer millennials a chance to grow their wealth and build a credit history that will enable more financial security.
Indonesian millennials have quickly adopted cashless payments via mobile. Millennials made up 33.75 percent of the Indonesian population in 2017, and out of that, 94.4 percent of the country’s millennial generation is connected to the internet, said Deloitte’s Indonesia Perspectives 2019 report.
Online Verification
To apply for Ceria, anyone between 21 and 50 years of age with a Bank BRI savings account can go through an online verification process that takes less than ten minutes. Once approved, users can begin shopping online, with no monthly administrative fees applied.
The app is ready to be used at e-marketplaces such as Tokopedia, Dinomarket, and Panorama, with more platforms coming soon. A maximum loan limit of Rp20 million (US$1,463) is available for Bank BRI’s «ultra micro» customers, the bank added.
