Fintech companies and traditional financial entities want to become banks in Colombia

In Colombia, traditional financial companies and financial technology companies (fintech) are waiting for authorizations, the arrival of new shareholders, or even a better time to start operating in the banking field. This is what they informed from the Portfolio website, on August 24th.

On the one hand, the article recalled the request that the financial corporation JP Morgan made to the Financial Superintendence of Colombia. In this sense, Cointelegraph en Español recently informed that JPMorgan Chase Bank has already applied to the Financial Superintendence of Colombia in order to obtain a banking license that will allow it to act as a banking institution within Colombia.

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Until now, the financial entity has acted as a credit establishment constituted within the Colombian economy. In addition, JPMorgan Chase Bank has a representative office that has been operating for more than 50 years within Colombia.

BTG Pactual
On the other hand, Portfolio indicated that the Brazilian bank BTG Pactual is also waiting for its authorization to be converted into a bank. „In the country they have other businesses such as investment banking and stock brokerage“, they clarified in the article, where they also quoted Juan Rafael Perez, CEO of BTG Pactual Colombia, who would have said that the entity is going to be a totally corporate investment bank.

„Perez said that Colombia is a strategic country for BTG Pactual, since it represents a growth opportunity in different lines of business“, explained from Portfolio.

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In that context, Perez also said: „The demand for credit by businesses was growing, a situation that was intensified by the pandemic, since they will require lines of credit to recover. In conclusion we see that there is still room for a new Corona Millionaire player in this market niche“.

The case of Finsocial
Apparently, Fintech Finsocial also wants to become a bank. Santiago Botero, Finsocial’s CEO told Portafolio that a new partner with financial muscle would soon arrive and apply for a banking license from the Superintendence of Finance.

„We are already very structured, with certifications, seals, audited process that have even made us win awards,“ Botero said.

„The other thing is to see how we are able to capture, which should be something simpler than analyzing and processing risks to lend,“ he added.

In addition, according to the article in Portafolio, at the time of becoming a bank, Finsocial would also support the fintech sector.