The Overseas Filipino Bank (OFBank) marks its second milestone year by showcasing that digital banking and investments can be accessed safely and conveniently by all Filipinos regardless of location–whether they are based in the Philippines or overseas.
As the Philippines’ first branchless digital-only bank, OFBank has expanded its financial services to 119 other countries, empowering migrant workers, long-term travelers, and multi-generational immigrants as well as their families. As a development partner, the Bank also guides clients to make smarter decisions about their future through money management advice via online and offline financial literacy webinars.
“OFBank’s banking products and services reflect the collective gratitude of the nation to our modern-day heroes who have significantly contributed to the country’s growth. We are also paving the way to expand financial inclusivity for our kababayans here at home,” OFBank President and Chief Executive Officer Leila Martin said.
OFBank secured the very first digital banking license from the Bangko Sentral ng Pilipinas (BSP) on March 25, 2021, and attained the required P1 billion minimum capitalization set by the latter for digital banks on May 26, 2022. As digital modes of banking transactions increased globally, OFBank’s inflow of online banking transactions totaled P7.22 billion from servicing more than 80,000 accounts over the past two years.
At the core of the bank’s service is the Mobile Banking Application (MBA) which enables contactless account opening, cashless payments, and immediate transfer of funds that can be done anytime and anywhere. The MBA’s current 148,000 downloads are further expected to increase as the world continues to navigate the global pandemic, such as the post-pandemic redeployment of OFWs into their host countries; the increase of their remittances; and the re-opening of borders encouraging greater travel.
Aside from facilitating online transactions, OFBank has also leveled the investment playing field, enabling Filipinos to grow (and not just save) their hard-earned money. In 2021, through the OFBank mobile app, both investment newbies and veterans were able to access medium to long-term government investment products such as the Bureau of the Treasury’s (BTr) Retail Onshore Dollar Bonds and the 25th and 26th tranches of the Retail Treasury Bonds (RTB). These low-risk, fixed-income investments allowed OFBank members to invest as low as P5,000 for RTBs and $300 for the RDB. They also offered attractive interest rates: RTB-25 with an annual interest rate of 2.375 percent (3-year maturity) and RTB-26 with a gross interest rate of 4.625 percent per annum (5.5-year maturity). Meanwhile, Retail Onshore Dollar Bonds provided interest rates of 1.375 percent (5-year maturity) and 2.250 percent (10-year maturity).