THE coronavirus pandemic has highlighted the importance of keeping an emergency fund, studies showed.
A recent consumer expectations survey by the Bangko Sentral ng Pilipinas (BSP) revealed that more Filipinos are now building their own savings accounts, with 73.9 percent of the respondents setting aside money in their banks for unforeseen situations.
Aside from its impact on public health, the Covid-19 is also proving to be a financial emergency. The BSP is bracing for a downturn for the national economy, as well as a 2.2 percent increase in the price of basic goods. Businesses are also taking a big hit from the lockdown, as massive layoffs are still expected to come, leaving Filipinos financially handicapped in the middle of a public health crisis.
According to a white paper released by AdSpark Inc., a portfolio company under Globe Telecom’s 917Ventures, consumption of personal finances as a topic grew by 800 percent from January 2020 to end of March 2020 when most Filipinos were required to stay at home.
Mindful of these, GCash is empowering Filipinos to efficiently manage their finance and save up for their futures.
GCash Save Money, a collaboration between GCash and CIMB Bank PH, provides an easier way for Filipinos to set up their own savings account or emergency fund.
It is the first ever bank account that can be opened and maintained straight from the GCash app. This spares verified GCash users the trouble of filling up multiple forms and lining up at the bank just to open up a bank account.
GCash Save Money allows depositors to earn 3.1 percent per year on balances, paid out monthly. This interest rate is the best in the industry, beating traditional banks that only offer up to 0.25 percent per year.
As an added bonus, GCash Save Money users who have average daily balances of P100,000 and above in the months of June or July 2020 are entitled to a four percent interest rate per year prorated for those months.
Users would also not have to worry about fees as well as there is no initial deposit and maintaining balance.
Any Filipino citizen above 18 years of age who owns a fully verified GCash account and a valid government ID can deposit under GCash Save Money.
Aside from being regulated by the BSP, GCash Save Money accounts are also insured by the Philippine Deposit Insurance Corp. for up to P500,000.
As digital fund transfers increase in number as millions are in lockdown, financial technology is expected to play a big part in the new normal.
So far, GCash has opened 2.2 million GCash Save Money accounts to date, further promoting financial inclusion in the country. / PR