FRANKFURT (Reuters) - Commerzbank is making headway in its efforts to go digital, executives said on Thursday as it prepares to move some corporate lending online from next month.
The German bank will start allowing corporate customers at two of its branches to request loans and receive approval entirely through its website, rather than on the phone or in person, before expanding the service nationally.
Turnaround time for new corporate loans would be reduced to 24 hours from the current 72, the bank says.
Commerzbank, which posted a loss in the second quarter and is still partially owned by the government after a state bailout, has pledged to digitize 80 percent of its processes by 2020 to cut staff, bureaucracy and costs.
To help achieve that goal it has created a “digital campus” to rethink the bank’s functions.
The campus occupies the former offices of competitor ING-Diba, which is making a success of its online-only, zero-fees offering.
Commerzbank, which expects to post a small net profit for the full year, is in the process of reducing its employee headcount to 36,000 by 2020 from 43,000 at the end of 2015.
Reporting by Tom Sims; Editing by David Goodman