CitySavings celebrates 100B loan portfolio, continues to elevate lives through financial inclusion

City Savings Bank, Inc. (CitySavings), the thrift arm subsidiary of Aboitiz-led UnionBank of the Philippines (UnionBank) has been serving people of moderate means since 1965.

From a single-product bank focused on teachers’ loans, of which CitySavings is the market leader, it has transformed into a financial institution that offers a wide range of financial products tailored to the mass market segment including motorcycle lending and other salary loan segments. The Bank continues to trailblaze in the thrift banking sector as it celebrates its achievement of a 100 billion loan portfolio owing this milestone to its clients.

“We care deeply for our clients and continuously strive to deliver superior customer experience even during the pandemic. They are the reason for our success and for that, we are immensely grateful to them. With our basic philosophy of ‘Simple is Good’, we will continue to fulfill our purpose of elevating communities through financial inclusion”, shared CitySavings Chief Executive Officer Lorenzo T. Ocampo.

As of August 2023, the thrift bank hit a net income after tax (NIAT) of Php 2.1 billion, generated 72 billion in loan releases, and achieved Return on Equity (ROE) of 16.2%. The thrift bank’s loan portfolio level soared with a 35% year-over-year (YOY) increase at Php 97.5 billion end of month (EOM) and a 31% YOY increase in interest income.

The Bank’s growth and innovation drive has earned recognition in recent years as the 2019 Fastest Growing Savings Bank in the Philippines by the Global Business Outlook, 2020 Best Employer Brand by Employer Branding Institute - India, and the 2021 Philippines Technology Excellence Awardee for its chatbot Talk to Maria at the Asian Technology Excellence Awards.

These accolades were followed by CitySavings being named again as the 2022 Fastest Growing Savings Bank by the International Business Magazine, 2022 Most Innovative Savings Bank, and 2023 Most Customer-Centric Savings Bank by International Finance. The Philippine Daily Inquirer and international market research firm Statista recognized the Bank in its 2023 Philippines Growth Champions list of the top 25 companies that have achieved the highest revenue percentage growth between 2018 and 2021.

Its strategy of offering simple and straightforward banking coupled with warm and helpful service and relevant products has worked favorably for CitySavings. 

The Bank remains steadfast in its commitment to creating innovative solutions to deliver the best customer experience through its digital channels. The Loan Ranger Mobile (LRM) App allows teacher-clients to view their account balances in real-time and apply for a reloan anytime, anywhere. While CitySavings’ chatbot, Talk to Maria offers a convenient 24/7 inquiry service and a seamless new loan application process. Through its parent, UnionBank, CitySavings also rolled out Bank-on-Wheels to make banking services more accessible.

“Our journey through the years has brought many opportunities and challenges but we have managed to do well. In 2022, the Bank delivered above-target financial performance which we, at the CitySavings team, are immensely proud of. This milestone of achieving a 100 billion loan portfolio is a solid testament that we are on our way to becoming the leading mass market bank in the Philippines” CitySavings President Manuel Santiago, Jr. said.

Regional insurtech Igloo eyes more opportunities to drive financial inclusion in the Philippines with US$ 27-M in fresh funding

Following a successful $27-M Series B+ funding, regional insurtech Igloo is gearing up to further accelerate financial inclusion in Southeast Asia. Seeing tremendous growth in the Philippines, Igloo will be allocating a portion of the funding to deploy more insurance solutions and increase coverage across the country. 

Financial inclusion and digital transformation: CitySavings and the future of banking

DIGITAL INNOVATIONS FOR THE MASS MARKET: City Savings Bank (CitySavings) joins the 2022 UnionBank Innovations Festival held last September 7 - 9 at the newly inaugurated UnionBank Innovation Campus, City of San Pedro, Laguna. The booth features the thrift bank’s innovative and relevant products that make banking simple for the mass market. Aboitiz Group President and CEO Sabin Aboitiz (front, 4th from left) joins the CitySavings team.

On September 7 to 9, 2022, Union Bank of the Philippines (UnionBank) launched “The Future of Banking is with U”, the 2022 UnionBank Innovation Festival at the UnionBank Innovation Campus in San Pedro, Laguna. The event was hosted in celebration of numerous digital solutions, trends, and innovations in technology and their applications to the lives of Filipinos.

Among the participants at the prestigious event was UnionBank’s thrift bank subsidiary, City Savings Bank (CitySavings). CitySavings is one of the largest thrift banks in the country, with the goal of providing comprehensive yet simple banking solutions for the Filipino mass market.