Pitching Personal Loans With Purpose

Personal loans at most banks are promoted merely as generic lines of credit rather than as tools in the digital experience that can serve a purpose: advancing individuals’ lives, often in measurable ways. Many fintechs have positioned personal loans this way, highlighting their products’ advantages in terms of cost, borrowing limits, and predictability. Traditional financial institutions have these same opportunities, and they enjoy an unmatched ability to read customers’ financial behavior context, which gives them the upper hand in anticipating individuals’ borrowing needs. 

That ability to see ahead rather than react enables earlier, more meaningful engagement that, if leveraged correctly, can meet customers’ borrowing needs at the right place, in the right time, with the right message. Institutions that can put this approach into action stand to reposition credit as a proactive driver of financial progress that deepens trust, increases share of wallet, and converts customers’ latent intent into lending opportunities the bank owns. 

Key questions discussed in this Digital Lending report:

• What opportunities exist for banks and credit unions to position personal loan offers to consumers in the context of their daily lives?
• What are the best practices for personal loan engagement?
• What personal loan practices by fintechs are worth emulating?
• What advantages do banks hold in pitching offers of personal loans to their customers?  

Companies Mentioned:

Avant, LendingClub, SoFi, U.S. Bank, Upgrade, Upstart