Quick Guide: The Best Digital Banks In The Philippines

Recently, digital banks continuously grow in the Philippines. It is evident in the rise in customer enrollments since 2020. However, our country is comparably slower adapting than our Asian neighbors. 

There might be a lack of knowledge about digital banks. You might have heard your friends or colleagues talk about digital banks. Which digital banking platform is suitable for you? Find out the answer as we delve into the best digital banks in the Philippines. 

Table of Content

What is Digital Banking?

• Digital Banking vs Traditional Banking
• Online Banking vs Mobile Banking vs Digital Banking

What are the Benefits and Drawbacks of Digital Banking in the Philippines?

• Advantages of Digital Banking
• Disadvantages of Digital Banking

How to Choose the Best Digital Banks in the Philippines?

• Products and Features
• Fees
• Safety and Security
• Mobile Apps
• Convenience
• Accessibility
• Compatibility with Another Digital Banking Platform

10 Best Digital Bank Philippines

• BDO Digital Banking
• CIMB Bank
• GoTyme
• ING Digital Bank
• Komo by EastWest
• Maya Bank
• PNB Digital Banking
• RCBC Digital Bank
• Tonik Digital Bank
• UNOBank

Takeaway

Frequently Asked Questions About Digital Banks in the Philippines

• Are digital banks in the Philippines safe?
• What is the best digital banking platform in the Philippines?
• How many digital banks can I have?
• When did digital banking start in the Philippines?
• How can I protect my digital bank account from cybersecurity threats?
• What should I do if I become a fraud victim?
• How much is the safe amount I can keep?

What is Digital Banking?

Digital banking is a powerful financial tool many consumers prefer over brick-and-mortar banks. Digital banks (Neobank) offer access to banking services and feature through the bank’s official website or mobile app. It relies on web-based services, APIs, and high-level automation, which results in more flexibility and security. 

In addition, it provides easy accessibility so you can utilize banking functions with any mobile device or computer. Also, you use digital bank apps to make cashless transactions in both online and physical stores. As a result, you don’t have to worry about being short of cash wherever or whenever you may be. 

It sounds incredible, isn’t it? But how does a digital bank differ from a conventional bank?

Digital Banking vs Traditional Banking

Digital banking is an automated banking procedure and activity. It has expanded features that are more efficient than traditional systems. It allows customers like you to access and manage bank accounts online. No need to be present at the bank’s physical office. 

For example, you can open a new bank account without leaving your comfy home. Pay bills and send money to your loved ones and friends. And track every cent in your transaction history 24/7. 

Most importantly, you can take out quick cash loans in just a few minutes. All of these transactions are possible with your smartphone. 

Meanwhile, traditional banking always requires your physical presence with limited banking hours from 9 am to 4 pm only.

You are forced to plan your bank visit ahead. In addition, it means you must take a day off from work or school. Or else you’ll miss the chance to accomplish your financial goal. 

For example, you need to bring all the requirements if you want to open a new account. Likewise, you must personally submit all the documents needed if you wish to get approval for a loan application. 

It’s not a surprise that many switch to using digital banks from traditional banks. First, however, ensure you fully understand digital banking before jumping in. So often, Filipinos get confused about online banking, digital banking, and mobile banking. So let’s learn more about them.

Mobile Banking vs Online Banking vs Digital Banking

You might have heard about these three. Although they might sound the same, you need to know their differences. 

Online Banking

Usually, you still need to go to a physical bank to open a bank account first. Only when you have a bank account can you register to your bank’s online banking system. 

Online banking lets you make transactions through a secure website. It offers comprehensive functions and features. However, opening your bank’s website requires a browser and an internet connection (Wi-Fi or wired). You can access it via computer or laptop over the internet. 

You may call it web banking, internet banking, electronic banking, or e-banking but it is not a mobile app. Access all the bank services a local branch offers, like deposits, bill payments, and fund transfers. But first, you need to register an online account with the bank. 

Moreover, online banking service requires your ATM/debit card. Therefore, your bank account number is essential too. Then, you have to create a username and password to enjoy the e-banking facility. Once registered, you can complete all your bank transactions without visiting the bank’s physical office.

Mobile Banking 

It offers a mobile service to existing bank account holders. You can use your smartphone or tablet for Internet banking, but it has limited functions and features. For example, you need Wi-Fi or data connection access to open banking applications, mobile banking websites, or SMS services. 

Mobile banking lets you perform the same bank transactions as online banking. Mobile apps are more user-friendly with terrific interface. Looking for features is easier and more direct to the point compared to a bank’s website.

Digital Banking 

It is the digitization of traditional banking operations, procedures, and services. It is the most adaptable online banking system with the most functions and features. You can use any device (computer, phone, or smart device) to access banking websites, bank applications, or services. Take note that you need Internet access like Wi-Fi, wired connection, or data connection. 

Digital banking operates exclusively online. There are no physical bank branches for you to visit. While traditional banks like BDO have online banking channels, all-digital banking service from Neobanks solely operates over the Internet.

All activities and functions use automated technology like analytics, big data, and artificial intelligence. 

Since there are no physical locations, face-to-face interaction with tellers does not apply. You may contact the digital bank through phone, chat, or email if you need customer service. 

In addition, the automated processes reduce the operational costs of Neobanks. It doesn’t require an initial deposit and maintaining a balance though, there are transaction fees. 

That’s why their savings accounts offer higher interest rates. However, Neobank offer less services than those brick-and-mortar banks with a full range of online bank services. 

For example, opening a joint account or a checking account is impossible. If you wish to deposit or withdraw cash, use the digital bank’s partner outlets. 

You can clearly see the difference between digital banking and other banking facilities. So let’s learn the perks and downsides of enrolling in digital banks.

What are the Perks and Drawbacks of Digital Banking?

Digital innovation for banking technology comes with pros and cons.

Advantages of Digital Banking in the Philippines

• No initial deposit 
• No maintaining balance
• Higher interest rates and lower bank fees
• Fast and efficient bank transactions
• Convenient and accessible 24/7
• Paperless statements and environment-friendly transactions
• Easy backtrack for transaction history and suspicious activities

Disadvantages of Digital Banking in the Philippines

• Always require a strong and reliable internet connection
• Downtime when undergoing system maintenance 
• Charge fees for cash deposits and withdrawals through partner banks
• Cybersecurity threats: scams, identity theft, phishing attacks
• Difficult for non-tech-savvy people

Are you now more convinced of how beneficial digital banks are? Then, before you enroll yourself in one, take a crucial look at the details you need to know. 

How to Choose the Best Digital Banks in the Philippines?

Many Filipinos are now switching to digital banking. But before you settle on an option, search for the following information. 

Products and Features

A digital bank offers a unique set of financial products and services. When choosing a bank, look for a feature that best fits you. Pay attention to essential features like interest rates, additional products, promos, loans, and investment options. 

Consider your financial priorities and goals when looking for features. Are you more concerned with savings? Do you prefer investing in cryptocurrencies? Do you frequently send money to someone?

Fees

The best benefit of digital banking is its low charge fees. Some banks even offer no charges for most of the transactions. You might consider this the financial reason you’ll opt for digital banking in the Philippines.

Safety and Security

An excellent security feature is another priority. You save your money for future needs, so it’s best to avail of a bank service with protection policies. For example, you lost your debit card or an unauthorized online transaction occurred. What will the digital bank do? 

Also, confirm if the Philippine Deposit Insurance Corporation (PDIC) ensures all bank deposits in your chosen digital bank.

Mobile Apps

Digital banking works best with its official website and mobile apps. All of your bank transactions are online. That’s why a seamless app is a must-have. 

When choosing a bank, check if the mobile apps function well. Read customer reviews and ask friends who use digital banking about its apps’ performance. 

Convenience

Pinoys opt for digital banking for its convenience. Also, it provides a user-friendly interface so users can easily navigate the mobile app. 

In addition, the registration process is easy to follow. Compared with traditional banking, you don’t have to leave your home to open an account. 

Accessibility

Managing finances must be available any time you need it. Digital banks in the Philippines are open 24/7. Search for digital banks that have shorter and less system downtime. 

In addition, you need to look for the reliability of its customer service. No teller is present for you to ask, so you’ll also raise your concerns online. Review that their customer support is responsive and offers immediate assistance. 

Compatibility with Another Digital Banking Platform

Digital banking forges partnerships with established financial companies. It garners additional points to entice clients like you. Browse which platforms connect to your digital bank seamlessly. This way, you can oversee your finances effectively. 

With the knowledge of how to pick the most suitable digital banking, let’s move forward with the possible options. 

10 Best Digital Bank Philippines

Here is a list of the top digital bank platform in the Philippines. Keep in mind that it is not based on rank. 

BDO Digital Banking

Banco de Oro is one of the country’s largest banks. SM Group, an influential corporation in the Philippines, owns it. 

Recently, the app for BDO Digital Banking had an update. With its improved BDO Online app, you can enjoy more uncomplicated and secure mobile banking.

Key Feature

• Minimum Initial Deposit: Php 100 – Php 50,000
• Minimum Maintaining Balance: Php 100 – Php 50,000
• Below Maintaining Balance Monthly Fee: Php 300
• Annual Interest Rates: 0% to 1.25% (most accounts have 0.25%)
• PDIC insured
• OTP to complete log-in and transactions
• Account Management: balance, transaction history, fund transfer
• Online Payment for bills and prepaid load
• BDO Cash Card Reload
• ATM Card Control

Disadvantages of BDO Digital Bank in the Philippines

Despite the numerous security measures of BDO, there are reports of various banking threats. Most online account holders experienced online hacking in December 2021. For example, Php 25,000 to Php 50,000 money transfers were made without the bank account owner’s knowledge and permission.

How can I Open a BDO Digital Bank Account?

Step 1. Visit a BDO branch near you.

Step 2. Present two valid government IDs.

Step 3. Accomplish the application form. 

Step 4. Secure a photo through their webcam. 

Step 5. Settle the initial deposit. 

Step 6. Claim your passbook and ATM card. 

Step 7. Register your BDO account to its online banking. 

CIMB Bank

CIMB is an all-digital mobile-first bank from Malaysia. Today, it has over 1,000 branches in Southeast Asia. It started its operation in the Philippines on January 2019. 

The CIMB Bank PH app lets you perform all bank transactions on your smartphone. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 2.5% to 8% (2x higher than a traditional savings account)
• PDIC insured
• Account: Fast Account, Upsave, GSave, GCredit 
• No lock-in period, and service fee
• With a Physical Debit Card
• Open an account thru the CIMB Bank PH app 
• No service fee
• Online Payment for bills and prepaid load
• Online and over-the-counter deposit
• Withdrawals through 20,000+ ATMs and 17,000 partner outlets
• Personal loan application available
• Account Management: balance, transaction history, fund transfer
• Online Payment for bills and prepaid load
• GCash users can open and manage a savings account 

Disadvantages of CIMB Digital Bank in the Philippines

Even though the CIMB boasts of its interests, it lacks genuine customer service. Most of its account holders complain about the poor response of the digital bank platform.

How can I Open a CIMB Digital Bank Account?

Step 1. Download the CIMB Bank PH app (App Store/Google Play Store).

Step 2. Open the app and choose a digital savings account.

Step 3. Complete the Sign-Up form.

Step 4. Input the OTP sent via SMS.

Step 5. Create a password for the online account and provide additional details.

Step 6. Upload a photo of any government-issued ID.

Step 7. Affix a digital signature.

Step 8. Wait for the Virtual Verification process (video call with an agent).

Step 9. Receive the CIMB account details on the app.

Step 10. Check your email and click the verification link to confirm your email address.

GoTyme

GOTyme is a partnership between the Singapore-based Tyme Group and the Gokongwei Group. It is the latest digital bank that offers physical VISA debit cards. You can avail of it fast and free from different kiosks nationwide. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 3% to 5%
• PDIC insured
• Free Physical Debit Card
• With Go Rewards points
• In-app promos
• Account Management: balance, transaction history, fund transfer 
• Free cash in and cash out (Robinsons Supermarket)
• Withdraw for free (Robinsons Bank)
• Opportunity to invest and trade

Disadvantages of GoTyme Digital Bank in the Philippines

GoTyme boasts of its high-yield investments. However, customers could not find the option for equities and stocks during its launch. In addition, GoTyme digital bank misses many points in its marketing strategy. You can hardly notice eye-catching commercials and advertisements.

How can I Open a GoTyme Digital Bank Account?

You may visit any of the GoTyme kiosks. Or simply download the GoTyme app to create your account. 

ING Digital Bank

ING is a Dutch international bank. It is available in more than 40 countries across Asia, America, and Europe. It started as a wholesale lender in the Philippines in 1990. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 2.5% on a daily balance (Php 20M or lower)
• PDIC insured
• Account: ING Pay, ING Save 
• Transfer funds up to Php 1 million daily
• Account Management: balance, transaction history, fund transfer 

Disadvantages of ING Digital Bank in the Philippines

The drawback of ING digital banking is you can only finance your account through PesoNet or cheque deposit. It does not have debit cards, which makes withdrawal difficult.

How can I Open an ING Digital Bank Account?

Step 1. If you’re not an ING customer, open a Current Account at their nearest branch. You’ll have an active account in just 10 minutes. 

Step 2. Access your account through online banking. 

Step 3. Pay up the fees to activate the digital card in the app. 

Step 4. Make transactions as you need. 

Komo by EastWest

Komo is a digital banking service under EastWest Bank. It comes with a VISA debit card that allows you to pay bills and withdraw and transfer funds. The bank has no branches, so all transactions work best with Komo mobile app. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 3%
• PDIC insured
• Deposit requires a fund transfer from other bank accounts. 
• Transfer funds up to Php 50,000 per transaction, per beneficiary, per day. 
• Fund transfer limit of Php 200,000 per beneficiary per day. 
• Account Management: balance, transaction history, fund transfer 
• Free EastWest ATM withdrawal 
• Offers Troo Flex Insurance Plan

Disadvantages of Komo Digital Bank in the Philippines

Komo digital banking is only accessible through a mobile app. It has no website platform. In addition, you cannot link your account to PayPal, unlike other digital banks in the Philippines. Most importantly, its interest rate may decrease over time.

How can I Open a Komo Digital Bank Account?

Step 1. Download the Komo app (App Store/Google Play Store/App Gallery)

Step 2. Create an account on their mobile app.

Step 3. Enter vital details: email and phone number. 

Step 4. Agree with the Terms and Conditions to receive an OTP.

Step 5. Provide additional information needed. 

Step 6. Verify your account through a selfie with the government ID. 

Step 7. Confirm the name and delivery address for your VISA card. 

Maya Bank

Maya Bank is from Voyager Innovations, Inc., a wholly-owned subsidiary of PLDT. The company is behind the success of mobile remittance Smart Padala and digital wallet PayMaya. 

Maya Bank began in the Philippines on April 2022. It rebranded PayMaya, PayMaya Negosyo and Smart Padala. It means PayMaya gets a digital bank license. In addition, it aims to transform Filipino consumers’ and MSMEs’ digital banking experience in the Philippines by integrating all Maya products and services into a featured-packed money app. 

Key Feature

• Minimum Initial Deposit: Php 0
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 4.5% to 6%
• PDIC insured
• With a Physical Debit Card
• Maya Credit: easy application up to Php 15,000
• Budget and organize money with Personal Goals 
• Cryptocurrency investment as low as Php 1 (Bitcoin, Solana, Ethereum, and Tether)
• Free Virtual Maya Card: minimum balance of Php 100
• Fund Transfer: PESOnet and InstaPay

Disadvantages of Maya Digital Bank in the Philippines

Maya digital bank is your all-in-one wallet. But still, it needs to include one vital feature if you wish to be consistent with your savings. It does not offer scheduled deposits for Maya Savings.

How can I Open a Maya Digital Bank Account?

Step 1. Install the Maya app on your device. 

Step 2. Create an account and provide vital personal details. 

Step 3. Wait for an email confirmation. Verify it by clicking the link.

Step 4. Enter your Philippine contact number and strong password. 

Step 5. Agree with the Terms and Conditions. 

Step 6. Wait for SMS verification and input the OTP on the Maya app.

Step 7. Upgrade your Maya account by providing additional information. 

Step 8. Click Submit and wait for the evaluation of your application for up to 48 hours. 

PNB Digital Banking

PNB Internet and mobile banking is easy to use. You can manage all about your account through the PNB mobile app. 

Key Feature

• Minimum Initial Deposit: Php 3,000
• Minimum Maintaining Balance: Php 3,000
• Below Maintaining Balance Monthly Fee: Php 350
• Annual Interest Rates: 0.10%
• PDIC insured
• Fund Transfer: various bank and account
• Send money via the phone number
• Account Management: balance, transaction history, fund transfer, credit and debit cards
• Manage investment portfolio

Disadvantages of PNB Digital Bank in the Philippines

PNB digital app users complain about the difficulty of upgrading their devices. You’d definitely want to use the same mobile apps if you have a new mobile phone. However, the PNB digital banking app does not allow you to switch your registered device to the latest one. What more if your old phone is broken, or worse, lost.

How can I Open a PNB Digital Bank Account?

Step 1. Visit the PNB Account Access Portal.

Step 2. Sign-up with your ATM card details. 

Step 3. Create a User ID with a strong password. 

Step 4. Key your mobile number and email address. 

Step 5. Input the OTP sent via SMS. 

Step 6. Enter the Online Activation Code sent in your email on your first log-in. 

Step 7. Enjoy the digital banking services of PNB. 

RCBC Digital Bank

RCBC Digital App offers numerous cutting-edge financial services. For example, you can convert your purchases to an installment plan. In addition, it provides a QR generator for fund transfers. Also, you can track your expenses. 

Key Feature

• Minimum Initial Deposit: Php 0 to Php 25,000
• Minimum Maintaining Balance: Php 0 to Php 25,000
• Below Maintaining Balance Monthly Fee: Php 500
• Annual Interest Rates: 0.15% to 4.00%
• PDIC insured
• Withdraw: scanning paper checks
• Fund transfer: custom QR generator
• App-based expenditure analyzer
• Convert to Installment function

Disadvantages of RCBC Digital Bank in the Philippines

Many RCBC digital app users criticize the OTP page. It keeps requesting you reset the password, but if you follow the instructions, you’ll still return to the same page. As a result, you’d have a hard time accessing your digital bank account.

How can I Open an RCBC Digital Bank Account?

Step 1. Download the RCBC Digital App. 

Step 2. Register an RCBC online account.

Step 3. Agree to the terms and conditions. 

Step 4. Enter all the personal details needed. 

Step 5. Input the OTP sent to your registered contact number. 

Step 6. Assign your User ID and password. 

Step 7. Enjoy the digital financial services offered by RCBC. 

Tonik Digital Bank

Tonik is digital banking in the Philippines from Singapore. It is the first Neobank that receive a digital bank license from Bangko Sentral ng Pilipinas (BSP.) It is 100% digital with promising fast and secure transactions. Also, it covers retail financial products and services, loans, deposits, payments, and current accounts.

Key Feature

• Minimum Initial Deposit: Php 0 
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: 4% and 6% for time deposits
• PDIC insured
• Account: Tonik current, time deposit, stashes
• Physical debit card (Php 300) and virtual debit card
• Withdrawal: ATMs (free)
• Customizable mobile app for financial discipline

Disadvantages of Tonik Digital Bank in the Philippines

The downside of the Tonik mobile app is there is no option to filter the dates in your transaction history. You’d have to do it manually if you plan to backtrack all your savings and expenses. In addition, the app does not generate statements. In addition, there is no bill payment included in its services.

How can I Open a Tonik Digital Bank Account?

Step 1. Download the Tonik app (App Store/Google Play Store)

Step 2. Enter your mobile number

Step 3. Agree with the terms and conditions. 

Step 4. Input the OTP.

Step 5. Take a selfie for a face identity scan. 

Step 6. Scan a government-valid ID. 

Step 7. Enter all additional information needed. 

Step 8. Create a strong password.

Step 9. Enjoy the financial services offered by Tonik. 

UNOBank

UNOBank offers a full spectrum of artificial intelligence-powered of digital banks in the Philippines. It started in 2020 under the operation of Singapore fintech DigibankASIA. It is unique for its artificial intelligence-powered platform. 

UNOBank is the ideal digital bank for time deposits. It provides secure, high-yield storage of large amounts of money. 

Key Feature

• Minimum Initial Deposit: Php 0 
• Minimum Maintaining Balance: Php 0
• Annual Interest Rates: up to 4.25% and 6.5% for time deposits
• PDIC insured
• Zero transaction fees
• Free cash in online and over-the-counter (7,500 outlets nationwide) 
• Physical debit card 
• Pre-approved dynamic credit line
• Automatic UNO debit virtual Mastercard Activation
• Php 100 cashback for #UNOboost or #UNOearn time deposit account
• Free Life Insurance coverage for Php 50,000

Disadvantages of UnoBank Digital Bank in the Philippines

Many UnoBank customers complain of poor customer service. If you ask a query, it will take time before they respond. So if you have a pending transaction that needs clarifications, you must wait for days (worse weeks) before hearing from them.

How can I Open a UNOBank Digital Bank Account?

Step 1. Download the UNO Digital Bank App.

Step 2. Register by providing all the essential information needed. 

Step 3. Verify your identification.

Step 4. Enter your password and passcode

Step 5. Enjoy the UNOBank digital services. 

With these options, you can quickly identify which digital banks in the Philippines are for you. In addition, you can have an account or two from different digital banking platforms. Just make sure you can meet the expectations from your end. 

Takeaway

Digital banking in the Philippines allows Filipinos to access the functions needed to keep their finances in order. It dramatically comes in handy during the challenging times of the Covid-19 crisis. In-person services were put on hold, the same as the banking facilities. However, we must keep our finances hustling to satisfy all our daily and future needs. With digital banks, you can overcome all possible challenges.

Frequently Asked Questions About Digital Banks in the Philippines

Are digital banks in the Philippines safe?

Yes. The BSP regulates it like traditional banks. In addition, Philippine Deposit Insurance Corporation (PDIC) provides insurance coverage of up to Php 500,000 per depositor. Also, digital banks have various security features for the identity authentication of account holders. 

What is the best digital banking platform in the Philippines?

The best digital banks depend on your personal and financial needs and goals. Determine if you aim for savings, investments, foreign remittances, etc. 

How many digital banks can I have?

You can have as many digital banks as possible. There is no limit to it. As long as you are eligible, complete the requirements, and meet the bank’s terms and conditions., you can. 

When did digital banking start in the Philippines?

The first official recognition of digital banking by the Bangko Sentral ng Pilipinas was in 2020. BSP released digital banks as a new official bank category that same year. 

How can I protect my digital bank account from cybersecurity threats?

Digital banks are always prone to scams, but these tips can still protect you. 

• Use a strong password and change it regularly.
• Do not share your personal information, password, and OTP with anyone. 
• Avoid using public and unsecured wifi connections during financial transactions. 
• Always log out after using your bank’s mobile app.
• Do not accept transactions from unknown sources.
• Apply additional security features like biometrics, face recognition, mobile PIN, passcode, or two-factor authentication. 

What should I do if I become a fraud victim?

If you think you are a victim of fraud or any suspicious activity, report it immediately to your bank. 

How much is the safe amount I can keep?

The golden rule of thumb in maintaining a maximum amount per account is Php 500,000. This is the safe amount insured by PDIC. However, you can still review the maximum limit allowed to earn the highest interest based on the bank and the account type. If it falls over the limit, place the amount in a new bank account or bank.