Nu Colombia (Compañía de Financiamiento S.A.) part of Nubank (NYSE: NU) announces the NuControl Credit Card pilot launch, developed to increase financial inclusion in the country.
With a presence in 100% of the departments and more than 95% of rural municipalities, Nu said that it remains committed to offering “accessible financial products, now, these options represent an opportunity for Colombians who have historically faced barriers in accessing credit.”
The NuControl card will be available in three options during the pilot, and its variations will combine “different interest rates and/or management fees.”
They will range from no interest on purchases, with no conditions, for a management “fee of 29 thousand pesos; up to regular interest with a reduced management fee of 12 thousand pesos.”
All versions reportedly allow a free cash advance each period and “maintain Nu’s commitment to transparency.”
When the client registers with Nu, their credit behavior is “analyzed to offer an option that fits their profile.”
When it is not possible to immediately offer them the Nu Credit Card due to lack of information, they “could offer a NuControl Credit Card.”
Marcela Torres, general manager of Nu Colombia said that Colombia’s structural dynamics mean that “only 35% of citizens have access to a credit product and we aspire to include everyone.” Torres also noted that they will only achieve this by “using innovation as a tool to be able to say ‘Yes’ to Colombians, based on products and value propositions that have not been seen before in the market.”
This pilot is said to be a vital step forward to continue transforming the financial ecosystem “towards a more inclusive environment” according to Torres.
This pilot program, which will be in testing during the next few months, does not imply any changes for current Nu Credit Card customers, who “will continue to enjoy their usual benefits.”
NuControl reportedly complements the existing portfolio and reinforces Nu’s commitment to better understand and meet the needs of Colombians, while also supporting a “digital, simple and accessible financial experience for all.”
As covered last month, Nu Colombia, a subsidiary of Nu Holdings, confirms that the Colombian Financial Superintendence (SFC) has formally approved its request to consolidate its account and credit operations under the entity Nu.
As stated in the update, this latest milestone, which aims to reinforces its long-term vision and commitment to the nation, will allow it to “expand its portfolio of products and services in the future.”
As clarified in the announcement shared by Nubank (NYSE: NU), this merger will not change any customer conditions and, on the contrary, “seeks to continue optimizing Nu’s business model, which now operates under a single company supervised by the Colombian Financial Superintendence.”
It also provides consumers with new protection mechanisms, such as the Financial Consumer Ombudsman (FCO).
Marcela Torres, general manager of Nu Colombia, said that they are very pleased with this operation, which will allow them to “continue expanding their product portfolio in the country while further simplifying the customer experience and service.”