Two Latin American companies – the consumer credit platform Enclave and the private equity firm Kandeo Asset Management – say they are joining forces to expand digital consumer lending in Colombia.
“Starting with Rayco (a Colombian nationwide retailer), Clave will dramatically improve the consumer experience by providing its customers with a digital wallet to easily access point-of-sale credit and payment options,” said the companies in a press release Tuesday (Dec. 7).
The two companies say the partnership combines Clave’s expertise in technology and consumer credit with Kandeo’s experience in leadership and management for Latin American businesses, while aligning with “Their common vision of improving the financial inclusion of the peoples of Latin America”.
Pablo Pizzimbono, co-founder and CEO of Clave, said the company’s digital portfolio “will drive the growth of thousands, if not millions, of merchants while improving the lives of millions of consumers in Latin America who do not have easy access to credit and services that are essential to their standard of living.
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As PYMNTS noted in March, many consumers in Latin America still use digital tools like mobile wallets to make purchases, even as people in that part of the world have increasing access to financial services.
A recent study found that nearly 60% of online purchases in the region were made using a mobile device this year, a 5% increase from last year.
According to a recent report by PYMNTS and EBANX, consumers in Latin America are also using alternative mobile wallet tools not connected to traditional methods such as bank accounts, credit cards or debit cards, with these tools accounting for 30% of e-commerce payments in the region.
At the same time, many Latin American consumers stick to their established local payment preferences, which often involve vouchers and transfers, mainly because many consumers do not have access to banking services. traditional, said Camillo Riveros of e-commerce company Dafiti. PYMNTES.
“Savings [such as] Colombia and Peru are still very [informal] savings, ”Riveros said. “So they depend a lot on cash, [and] it could become a barrier for people to actually use e-commerce because… they are not part of the digital world.