DEPENDENCE of Filipinos on digital financial services has accumulated 1.3 billion seconds, equivalent to 42 years of time spent on digital lending applications for 2023, a 37-percent increase in activity compared to last year, according to a study conducted by consumer credit service Digido.

The study found that 63.4 percent of that time was spent on platforms offering personal loans, time spent on point-of-sale and secured loans at 17.5 percent, buy now, pay later service at 16.6 percent, while at the very least at 2.5 percent was installment loans.On average, users spent approximately 14 minutes and seven seconds per month on these platforms, each session lasting 54 seconds.Lending apps saw a 52-percent increase in total number of downloads reaching 89.66 million. Unique users jumped to 47.46 million, or 64-percent increase compared last year. Active users recorded 7.7 million, or 25 percent more from the previous year.Rose Arreco, Digido's business development manager, highlighted the role of these apps in providing accessible financial services."Duly-registered digital lending applications continue to be viewed as trusted financial partners for persons in need of accessible formal credit, especially the underserved market. The increased use of apps offering personal loans also affirm Filipinos' growing preference for digital channels and flexibility when utilizing credit," said Arreco.She further emphasized the impact of digital lending on low-income segments. "The high percentage of Filipinos with limited access to traditional financial services, combined with the growing demand for formal credit options in the current macroeconomic context, led to more consumers turning to various lending options, especially ones offering personal loans. Such platforms are reaching more low-income segments of the population through new technologies or partnerships with banks," she added.Digido expects the interest in digital lending to remain high and stable, driven by ongoing collaborations within the fintech (financial technology) industry aimed at enhancing service accessibility.The study examined 70 digital lending apps registered to operate in the Philippines, including Digido. Read The Rest at :