RCBC auto, housing loans hit P121 billion

MANILA, Philippines — Yuchengco-led Rizal Commercial Banking Corp. (RCBC) sustained its auto and housing loan portfolio last year, rising by 24 percent to P121 billion amid high demand.

In a statement, RCBC said it likely ended 2023 with its auto and housing loan portfolio at P120.8 billion, up 24 percent from the P97.8 billion in 2022.

RCBC Consumer Lending Group head Ramil de Villa attributed the strong performance to targeted campaigns directed to high value clients.

“These personalized campaigns showed positive results in terms of acquisition and bookings, aside from the improved customer experience,” De Villa said.

For auto loans, specifically, De Villa said the improvement in the availability of inventories across all brands and variants is expected to trigger increased demand moving forward.

As for housing loans, the upward trend of portfolio share coming from overseas Filipino workers is continuing with a notable increase in demand from North and South Luzon markets.

In terms of consumer loan bookings, RCBC is looking at an 85-percent increase to P45.4 billion in 2023 from P24.6 billion a year ago.

Latest data showed that as of the end of third quarter, monthly loan bookings averaged at P3.4 billion versus the P2 billion recorded in the same period in 2022.

“This is driven by new product models sourced both from YGC (Yuchengco Group of Companies) and traditional partnerships along with competitive pricing on segments and our identified target market of better asset quality,” de Villa said.

“We are confident to end 2023 with 85 percent year-on-year growth in our bookings and 24 percent growth in earning assets and non-performing loan ratio lower by 210 basis points,” he said.

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The article was originally published in PhilStar Global and written by Louise Maureen Simeon.