WiZink, the entity specialized in revolving cards, seeks to diversify its business through personal loans. The bank announced yesterday four new products, to be contracted completely online, with interests ranging between 4.59% and 8.3% APR, depending on the loan. With this change in strategy, WiZink’s objective is to become the leading digital consumer credit bank in the Iberian Peninsula.
The new four products that it puts on the market are the WZ Eco Loan, to help finance the greenest and most sustainable projects, for which it lends up to 30,000 euros at 4.59% APR, the cheapest of all. The WZ Training Loan is to finance projects such as new studies with up to 30,000 euros at 6.17% APR. It also launches the WZ Reforma Loan, with up to 30,000 euros at 6.96% APR and, finally, the WZ Personal Loan, to finance any project with up to 30,000 euros and an interest of 8.3%. The four credits have no commission for study, opening or cancellation, nor additional costs.
Reactivation of demand
The CEO of WiZink, Miguel Ángel Rodríguez Sola, assured yesterday through a statement that launching personal loans is a clear growth opportunity for the entity and a milestone in the diversification strategy to lead the consumer credit market in the Peninsula Iberian in the digital field.
“We are going to take advantage of the reactivation of consumption in Spain by entering the segment with the largest market volume and leveraging our competitive advantages, with a 100% digital proposal, without any commission, easy to manage and contract and at very competitive prices”, said. The entity plans to enter the personal loan business in Portugal before the end of the year.
The bank thus changes its strategy after the 2020 judicial coup against the high interests of revolving cards, which forced the entity to increase provisions for litigation, in addition to those to cover the incoming default due to the pandemic, closing the year with losses of 47 million.