SB Corp taps Landbank e-payment service
The Department of Trade and Industry’s attached agency Small Business Corp. (SB Corp.) has partnered with Land Bank of the Philippines to make available a fast and efficient alternative payment collection service to micro, small and medium enterprises (MSMEs).
Under their memorandum of agreement, SB Corp. will avail of Landbank’s e-payment facility, the Link.BizPortal.
Through Link.BizPortal, SB Corp. clients can transact or pay monetary obligations via the internet using any epayment models offered by Landbank.
The service is available only to clients maintaining a peso account either with Landbank or other banks.SB Corp. president and chief executive officer Ma. Luna Cacanando said the agreement with Landbank is “very timely and useful” for MSME clients, especially as the Pondo sa Pagbabago at Pag-asenso (P3) program is on full gear.
P3 is a loan financing program which seeks to provide micro enterprises an alternative to the informal “5-6” money lending scheme.
Under P3, micro-entrepreneurs can borrow P5,000 up to P200,000, with no collateral requirement.
Interest rate and service fees, all in, do not exceed 2.5 percent monthly.
“Because most of our clients in the P3 program are having difficulty in producing a valid identification card, we need a fintech solution and this partnership with Landbank to make documentation easier,” Cacanando said.
She said the partnership would also allow SB Corp. to reach MSMEs in rural areas.
Liduvino Geron, executive vice president and branch banking sector head at Landbank, said the partnership is expected to contribute to ease of doing business among Landbank and SB Corp clients.
“We hope that this agreement will help SB Corp. clients to transact easier and efficiently,” Geron said.