Latin America’s lending fintechs are offering additional financial products in a bid to stand out in a market that is increasingly competitive. “We will not be able to stick around for long as single-product companies,” warns Roberto Salcedo, CEO and founder of Baubap, a Mexican microfinance fintech focused on people with no credit history. In Latin America, 1 out of every 5 fintechs operates in the lending sector. It is the vertical with the largest regional presence after payments, according to data provided by Diego Herrera, lead specialist in financial markets at the Inter-American Development Bank (IDB), at a recent forum in Chile. In Mexico, for example, there are 141 fintech lenders, providing 13 types of loans, including personal, business, factoring and other models, according to a recent survey conducted by Addem Capital, a debt fund focused on Latin America. “In the past, many credit institutions have remained single-product companies for years. I believe that the current market is demanding greater sophistication in other services, other products, and we have to deliver it for them,” says Salcedo.

https://iupana.com/2021/05/24/latams-fintech-lenders-seek-new-models-amid-growing-competition/?lang=en