Mr. Piyasak Ukritnukun, Managing Director of Ngern Tid Lor Public Company Limited or TIDLOR, said that regarding the case of Government Savings Bank announcing preparation to do non-bank financial service business in 2023 providing personal loans (P-Loan) charging interest about 20% per year, including plans to service land loans and consignment as reported in news, Ngern Tid Lor is confident it will not be affected because currently the main business is vehicle title loan service and the loan user group is still a different group, as Ngern Tid Lor's customer group is loans with vehicle registration as collateral.
Additionally, Ngern Tid Lor has strengths in service through “Tidlor Card,” a revolving cash card where if not used, no interest is charged. This helps vehicle title loan applicants withdraw cash according to their loan limit via leading commercial bank ATMs nationwide, helping access funds when needed conveniently, quickly, and with more flexibility. Reducing steps in submitting new loan documents and reducing travel costs to branches so they can use money to solve problems or rehabilitate their businesses, and also reducing reliance on informal funding sources. In the past, it received very good response from customers. Also, the company has been able to create continuous growth for insurance brokerage business and grow better than industry average, resulting in continuously increasing revenue from insurance brokerage business.
It is gratifying that the bank is turning attention to low-income groups, independent workers, or farmers with uncertain income sources to help grassroots people (underbanked) have increased opportunities to access systemic funding sources. On the side of non-bank operators, they need to adapt and build strong business foundations to support future business competition. Ngern Tid Lor has prioritized building business foundations using innovation beforehand, thus confident it can compete in business both in present and future and grow sustainably.