China Bank Savings to put up 30 branches

Tuesday, September 23, 2008

China Bank Savings is looking to establish at 30 branches by 2010. In fact, it will be operating six by the start of 2009.

Four branches will be located in Metro Manila and another in Cebu. The sixth branch is already located in the former head office of Manila Bank in Ayala, Makati. The opening of the remaining 22 branches will be spread out next year until the end of 2010.

“We are very excited about China Bank Savings and the huge growth potentials in its identified market segments,” Samuel L. Chiong, senior vice president of China Banking Corp. (China Bank) and concurrent president of China Bank Savings, said.

China Bank acquired Manila Bank, with 75 branches (27 of which were operational at the time of acquisition), in June 2007. From December 2007 to February 2008, China Bank converted and integrated 20 of Manila Bank’s branches into the China Bank branch network, and closed and consolidated six branches with existing China Bank branches.

It will use the remaining branch licenses to expand the networks of both the main bank and the savings bank.

China Bank Savings is positioned to be an alternative to traditional banking.

Targeting entry level and start-up customers up to asset accumulators, the thrift and savings bank will be offering products and services that match different life stages like basic deposit products for those building up their savings, basic loan products to fund personal dreams or augment cash flow problems, investment products, and more.

It will be focused on the retail side of the business, offering banking products and services that the main bank will not, such as kiddie savings account or installment loans.

It also has a distinct image from the main bank as it targets a different niche, focusing more on the retail market. The savings bank will be projecting an image that is more vibrant, friendly, family-oriented, and accessible, to be conveyed in its logo, merchandising materials, and even its personnel.

For the meantime, it maintains the same product range offered by the acquired Manila Bank, with some modifications on the rates and/or terms. It will also continue to run on Infoserv banking system until the fourth quarter of this year, when it will be upgraded to the Dimension core banking system.

“We are replacing the existing technology to improve and enhance the thrift bank’s operations. It is our goal to consistently provide our customers with top-notch services and exceed their expectations, so we need not only the manpower but also the latest technology to make it happen,” Chiong said.

China Bank Savings will eventually expand its services to include phone banking, Internet banking, mobile banking, as well as offer products such as debit cards, special savings accounts.