Canadian Imperial Bank of Commerce (CIBC) is going into partnership with Borrowell Inc., a financial technology lender, to provide “one click” online loans to banking clients.
The collaboration between the two companies, both based in Toronto, will allow CIBC to leverage Borrowell’s technology and underwriting approach to adjudicate loans online for existing clients in real time, according to an announcement released on Thursday. The funds will typically be issued the following business day directly into a client’s CIBC account.
“CIBC’s partnership with Borrowell to deliver a digital borrowing experience to clients is a first from a major Canadian bank,” says David Williamson, group head of retail and business banking at CIBC, in a statement. “By leveraging innovative technology, we are taking a process that is often viewed as slow and cumbersome for clients and making it much faster and more convenient.”
The initiative is being launched to a select group of CIBC clients. The technology will allow clients to apply for a loan of up to $35,000 using a simplified application process, with the ability to upload documents online securely for verification. Plans to extend the borrowing platform to a wider client base will be based on client experience feedback and input from this first phase.
“Our partnership with Borrowell is based on our shared view that the process for borrowing money for personal banking clients could be improved in the digital age,” says Williamson, “while retaining all of the prudent risk-management criteria you would expect from a major bank.”
This partnership with Borrowell is CIBC’s most recent move to digitize its lending process. CIBC launched a program in November 2015 with Montreal-based Thinking Capital Financial Corp., also a fintech lender. That partnership provides small-business banking clients with access to the lender’s digital application process through CIBC’s website.
See also: CIBC, Scotiabank increase support for Thinking Capital
CIBC partners with fintech firms to offer new services
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