The major bank has announced SocietyOne as a partner on its digital banking platform, with plans to expand its offer to lending over time.
Westpac has announced marketplace lender SocietyOne as the second partner to join its new digital banking-as-a-service platform, following the appointment of Afterpay in 2020.
The partnership would provide Westpac with opportunities as institutional and fintech partners look to integrate digital banking services with their customer mobile apps, the bank said.
Westpac’s digital banking services, which uses cloud-native technology, will be available to SocietyOne customers in the second half of 2021.
According to SocietyOne, the move to partner with Westpac has formed a part of its growth strategy to provide a wider range of financial products and services, including the launch of a transaction account for its 75,000 customers.
SocietyOne, which was founded in 2012, is backed by a range of shareholders, including Westpac’s venture capital partner, Reinventure Group. The group has been an investor in the fintech lender since 2014.
Other shareholders include NewsCorp, Seven West Media, Australian Capital Equity, Consolidated Press Holdings, EISS Super, and G&C Mutual Bank.
Commenting on the partnership, Westpac general manager, corporate and business development, Macgregor Duncan said the partnership would allow the bank to reach new customers through a low-cost operating and distribution model, grow deposit balances and, over time, expand its offer to lending and data services.
“We are especially pleased to be expanding our partnership with SocietyOne,” Mr Duncan said.
“SocietyOne is an established digital brand with a strong referral network, which generates over 80,000 unique monthly website visits. We see an opportunity to work with SocietyOne to broaden its appeal to Australians through innovative and integrated banking and lending services.
“We recognise that Australians are looking for new and different ways to do their banking, and by partnering with established brands and leveraging our combined data resources, we can provide better, more personal experiences for customers.”
SocietyOne CEO Mark Jones also spoke about the partnership, stating: “With the launch of the SocietyOne app, customers will be able to access their credit score for free, apply for a SocietyOne loan and manage their existing loans, as well as deposit, withdraw and transfer money from and within the new transaction account powered by Westpac’s digital platform.
“This move forms part of our long-term strategy to build a range of financial products that will help empower and educate our customers and assist them to achieve their goals faster.”
SocietyOne recently launched a secured personal loan product, which enables borrowers to borrow up to $70,000 if they use an asset as a security.
[Related: Personal lender joins AFG panel]
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Malavika Santhebennur is the features editor on the mortgages titles at Momentum Media.
Before joining the team in 2019, Malavika held roles with Money Management and Benchmark Media. She has been writing about financial services for the past six years.
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