A cumulative total of 10 million businesses on Alibaba and its affiliated platforms took out loans from its business credit arm in the last five years, the company unveiled it at an event earlier this month. Since 2015 the business has been operated by MyBank (网商银行), the online direct bank in which Ant Financial (Alibaba’s finance arm) has a 30% stake.
Duoshou Duodai (多收多贷), a loan product for small and micro-businesses who use the Alipay QR code payment service to accept payments, has signed up 3 million customers since its launch a year ago this month.
MyBank said they’ve decreased the average loan origination cost to RMB 2.3 (US$0.35), with RMB 2 billed for technology, from some RMB 2000, mainly manual labor cost, with traditional lenders.
MyBank announced to open its near-instant lending technology and other tech capabilities to third-party financial institutions. It aims to sign up some 10 million financial institutions and some 30 million small and micro-business customers in the next three years.