SunTrust Bank leverages technology, to capture 113m internet users

SunTrust Bank has disclosed that it hopes to leverage on its technology services to make its services available to the over 113 million Internet and telephone phone users in the country’s telecommunications sector.
This is in addition to attracting the over 100 million unbanked Nigerians, which the bank said it plans to attract into the banking sector through the use of innovative information and communication technology (ICT).
SunTrust Bank will operate the branchless banking model where it will deliver financial services outside conventional bank branches.
It hopes to eliminate the need for costly brick-and-mortar branches and hope to use agent networks to reach its customers more efficiently.
Muhammed Jubrin, managing director and chief executive officer, Suntrust Bank, disclosed this in a chat with journalists, recently.
According to him, this move by the bank will go a long way in deepening the financial sector and achieving the Central Bank of Nigeria’s goal of encouraging the saving culture among the populace.
The bank CEO said, “It is unfortunate that we have just about 30 million Nigerians within the banking sector, as captured by the Biometric Verification Number (BVN). This is alarming when we consider the number of Nigerians that should have bank accounts.
“We are determined to use technology to attract more Nigerians into the banking sector. We are very positive that this is possible, and with the success in the telecommunication sector, we are sure that our mobile banking applications will entice millions of able Nigerians into the sector.”
The more than 113 million functional telephone lines now being used by Nigerians, Jubrin said was a success story in the telecommunication sector, adding that it gives the management of the bank the hope that its aim of banking millions of unbanked Nigerians, using technology, is achievable.
“Suntrust Bank will bring banking to your home rather than make you come to us. We will be everywhere but we will be nowhere. We will offer telephone, mobile and Internet banking underpinned by the traditional banking ethics of probity and integrity,” he said.
He affirmed that the bank’s competitive edge would be its strong reliance on technology, adding that the bank would encourage customers to access its services from the comfort of their homes and offices and so would not be engaging in a proliferation of branches.
“Our services will be available to our customers 24 hours daily, seven days a week and from anywhere in the world where there is good internet service. Our data centre is outsourced; this way, we will not have the overbearing requirement to put on the generator at our locations,” he highlighted.
According to him, by adopting the branchless strategy, SunTrust will save the N100million-N120million required to build a modern branch and the about N2.5 million it costs to run generators at a typical bank branch.
‘‘We will not be emphasising physical security as we are making serious investment in cyber security instead. Over 90 percent of banking transactions are being transacted electronically worldwide. Banking is no longer where you go to physical structures. The only financial institutions that can stand in the future are no longer those with physical branches but only banking services that will be driven by technology and, therefore, most customers of tomorrow will no longer be interested in going to the banking halls,’’ he explained.
He also revealed that the customers of the bank will be encouraged to use any Automated Teller Machines (ATMs) they desired because the bank will not be charging them the fee charged by other banks for using ATM platforms belonging to rival banks.