TEB Pratik İhtiyaç Kredisi - TEB Practical Consumer Loan.

A consumer loan entailing remote application and instant assesment.

Innovation presentation

Pratik Kredi is a consumer loan entailing remote application and instant assesment. The platform with its unique pricing and scoring strategies is designed to serve the Bank’s growth ambitions in the consumer loan market.

Pratik Kredi’s main features:

1. Apply anytime anywhere : The prospect sends their National Identity Number via SMS/ TEB web site, IVR, call centre, internet branch and ATM. The platform gives back an immediate answer based on the applicant’s score in the Credit Scoring Bureau and Behaviour Score if s/he is already TEB customer.

2. The approved applicants can visit any TEB branch with no specific document to finalise the loan application in 15 minutes- the only document they need is again their national identity card. The process is streamlined and channels are integrated, there is no need to reenter the known customer details in branches.

3. Higher profitability and risk based pricing: Pratik Kredi is the first risk based pricing platform where there is a higher margin as the credit decision is based on limited information.

4. Automated lead follow up : The prospects applied for PratiKredi and granted an approval are assigned to the branch network for follow up based on a algorithm including the customer address registed in the National Address Database. The assignment is an Opportunity to Contact to the customer who have not visited the branch yet.

5. For the approved applications reminder SMS’s are sent automatically.

Uniqueness of the project

Automated lead follow up is unique to Pratik Kredi. The leads are automatically assigned to branches to contact the customer. It is important both for branch performance and customer satisfaction. Assignment is made based on an algorithm including the customer address registered in the National Address Database, which gives the branch the opportunity to reach potential customers within the branch hinterland.

The Reason Behind

Pratik Kredi is a main lever for the bank’s Consumer Loan Performance as it provides a sustainable stream of approved loan applications irrespective of the branch performance.

In an ordinary day 3.000 applications made through Pratik channels. This is above the branch applications and it rises above 15.000/day with a promising ATL campaign.

Consumers –especially mass segment- prefer to test/learn whether they are credible before they actually apply for a loan. This is mostly for saving time, but it is also more attractive since they do not have to face the possibility of rejection in front of a bank personnel.

Results

1.050.000 applications have been received in first 6 months of 2013. 50% is received via SMS, 39% via web. 28.370 loans have been booked amounting to130 million TL. In average, 17% of the bank’s overall consumer loan production is from Pratik Kredi. During campaign periods number of applications increase up to 5 folds. Currently, the profitability of the product is 34% more than the conventional consumer loan.

Pratik Kredi had Group Innovation Awards BNP in 2012, Winner of the Category "Process optimization".