GE Money Bank still in acquisition mode

GE Money Bank Inc. has started refitting its 30-branch network from being grossly backroom-oriented to one that is marketing and customer service biased.

At the start of its operations this year, its branches were 80-percent backroom oriented and 20-percent customer biased.

"After the refitting program, our branches will be 80-percent customer service oriented and just 20-percent backroom designed with all the technological advancements that will be put in place," John Hickey, GE Money Bank chief operations officer, said.

GE Money entered the Philippine market when it acquired Keppel Bank Philippines last December 2005 and renamed it GE Money Bank. GE Money is the financial services unit of General Electric (GE).

Of the total operating branches, 19 are located within Metro Manila and 11 in areas outside Metro Manila.

But that is only for starters. It is prepared not only to grow through organic means but also through acquisition.

"The Philippine banking scene is still an open field. We are actually watching for acquisitions, as organic growth continues both for quality acquisitions and for the numbers," Hickey said.

It is also open to forging working relationships with life and non-life insurance companies as part of its expanding market services development.

The newest entrant in the Philippine thrift banking system reported a double digit growth in income in the past nine months. However, absolute figures were unavailable as of press time.

It is not allowed by regulations of the Bangko Sentral ng Pilipinas (BSP) to practice bancassurance, or selling of insurance policies through its branch network. However, it can forge marketing or sales alliances with insurers.

Only commercial banks are allowed by the BSP to practice banc-assurance, and only if the bank owns at least five-percent equity in the insurer.

Hickey said that GE Money offer all the basic banking products allowed by law for thrift banks, and it will introduce more consumer banking products in the line of mortgage, automobile, small and medium enterprises, personal and salary loans as well as credit cards.

It will introduce an electronic platform to allow simple, fast and safe transactions for its client base.

With operations in 47 countries and a solid footprint in Asia, the Philippines will serve as a strategic cornerstone of GE Money’s Southeast Asian strategy. In addition to the Philippines, GE Money’s Asia operations include Japan, China, Korea, Taiwan, Thailand, Indonesia, Singapore, Hong Kong, India, and Vietnam.

GE Money brings to the Philippines its well-known competencies in risk management, analytics and solid business management practices, including Lean/Six Sigma. GE is a Triple-A rated company with over 150 years of history.

"We see a strong growth opportunity in the Philippines. GE Money wants to be the bank that makes managing your money simple with products and services that cater to your financial needs. We look forward to supporting the growth of the Philippine economy as a partner of choice to savvy consumers, small business entrepreneurs, and SMEs," Ben Kua, chief executive officer of GE Money Bank Philippines, said in an earlier statement.