Financial Services (105)
Making banking responsible?
The consumer credit company Cofidis has just launched a new signature - “From people, to people” - and changed its own brand positioning to get closer to its clients and their needs. The company is moving away from being known for anonymous and remote loans.
Why it matters
The financial crisis has thrown many families into a very difficult situation, especially because of over indebtment and an abrupt rise in living costs. In a time where some people need credit more then ever, consumers are increasingly suspicious of the financial system. Companies like Cofidis are well aware of this and are offering much more than a loan to its clients: a service that includes not only the money needed, but also personalized financial counselling and help in household budget management. Is this the end of “blind loans” that contributed to the collapse of the banking system? Will this crisis contribute to a more responsible and sound financial system? And will this new approach last?
Fidor Bank from Munich promises their customers they will increase their interest rate depending on the amount of likes they get on their Facebook page. The rate will go up by 0.1% for every thousand fans, though the maximum increase is set at 1.5 per cent in 2012.
Creditors are using a new tool to find out who’s worthy of credit offers and who’s not – your social networks. Banks and credit issuers are taking advantage of the personal conversations made public by sites like Facebook, Twitter, and LinkedIn. But don’t rush to change all of your privacy settings right away. Most of the information is used inform creditors of offers you would be a good candidate for, or things you might be interested in because your friends are. But it can be used as a risk-management tool. Creditors find that people with good credit attract the like, while people with poor credit are often linked to others with a similar rating.