There’s no doubt more risk and uncertainty lie in the year ahead.
But between the new federal stimulus, skyrocketing consumer credit scores and demand for credit on the rise, there’s ample chance for fintechs to capitalize on new opportunities as they reenter the market.
Remember, as demand for credit continues to rise, consumers and small
businesses will also be reentering the market in a sense.
How you engage with these customers, not only helps mitigate near-term risk, but also can better position fintechs for long-term customer relationship and growth.
Many customers may not be in the best financial position due to the health crisis.
For many fintechs, the only option is ‘approve or decline,’ but imagine a world where you can cultivate a prospective customer who might have originally been declined.
Through customized credit education and financial health engagement, in a few months this customer is now able to be underwritten.
After going on this journey of financial health alongside them, they’re more engaged and trust more in your brand, strengthening the lifetime value of that customer.