Singapore's OCBC Bank is extending its instant account opening service to small traders, mining the Government's national data repository MyInfo to offer on-the-spot account numbers and payment approval.
To open a new account via mobile or desktop PC, prospects first give the bank consent to use their MyInfo profile to auto-fill the application form, eliminating the need to key in details or submit any additional documentation.
Verification and authentication happens within seconds and customers are automatically assigned an account number to immediately initiate funds transfers.
OCBC initially integrated its systems with the Singapore's Government's digital vault in 2017, and has since developed an electronic KYC process, paving the way for instant online onboarding.
The extension of the system to SMEs follows a roll out to personal customers signing up for the bank's OCBC 360 account. The bank says it is recording a three-fold increase in the number of OCBC 360 accounts opened digitally on a month-on-month basis since the service was introduced in June.
OCBC is expecting a similar pick for the latest iteration, with 70% of all businesses incorporated in Singapore having a one or two-man structure.
Christie Chu, head of emerging business, global commercial banking, OCBC Bank, says: “Businesses sometimes ink deals and then scramble to open an account to receive the payment so this is a convenient and practical solution. Our service will benefit a majority of new SMEs."
Local rival DBS Bank is also tappingg Myinfo to enable new-to-bank and existing customers to apply for a DBS/POSB credit card with instant approval, as well as open a DBS Cashline account online with immediate access to funds and related DBS Cashline account functions.
The service is accessible to the 3.3 million registered SingPass holders in Singapore.
Introducing the service, Jeremy Soo, head of consumer banking at DBS Bank., says: “MyInfo adoption has been rapidly increasing since the service was introduced in March 2017. Today, one in four DBS/POSB customers will use MyInfo for online application services when given the option, and we expect this to increase with our latest credit card and DBS Cashline capabilities. We look forward to rolling out more services with MyInfo by the end of this year.”