Banks, large technology companies and fintechs can collaborate for better customer acquisition and use analytics to make an informed credit decision, standard Chartered Bank Mohamed Zareen Daruwala said on Tuesday. “It’s about coexistence that, in my mind, will develop over the next few years,” drinker Speaking at a fintech webinar, he said.

She said payment tech companies and fintechs cater to a very low friction customer base and they feel very comfortable using it (their services).

“But having said that, banks are also increasing their speed. They are using cloud computing in a big way,” he added.

Daruwalla also said that it has been a while for banks to monetize their huge database, however, they are catching up fast in the last 2-3 years.

Regarding collaborations with fintechs, he said such tie-ups don’t make sense as lenders have costs related to compliance and regulatory requirements and they help reduce that cost.

“Fintech has specific types of products… clearly banks can’t do it all. In addition to fintech, there is a new trend of pure digital banks. Our own bank has set up a digital bank in Hong Kong, this Fully digital bank.

“So, we have a common Standard Chartered bank in Hong Kong and we have a digital bank and both the banks compete in the same market,” Daruwalla said at the Global Fintech Fest 2021.

Global Fintech Fest 2021 (GFF 2021), organized by Fintech Convergence Council (FCC), Payments Council of India (PCI), National Payments Corporation of India (NPCI) and IAMAI.

He added that Standard Chartered Bank has partnered with a lot of fintech companies that do a lot of analysis and help in adding new customers.

“I think collaboration is not just for sourcing data from customers, there are various analyzes you can use on it… Banks have a database too, but it is too late to use that data. In the past. In two to three years, we have seen banks use their customer data in a very meaningful way,” he added.

Furthermore, she said there is a clear emerging trend of two sets of customers: there are people who are very digitally savvy, and on the other hand there are customers who understand it but are not comfortable using it.

“Therefore, I think we as banks need to look at how we have to create a self and help mode system for services. We have recently launched such a platform,” Daruwalla said.

She said that there is a lot of assets between 40 and 50 plus clients, however, they are not technically savvy. And support-based services can help them channel their money into the financial sector for better investment decisions and uses.