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HSBC has reduced the approval process for new receivables finance (RF) customers from 1-2 months to under 48 hours using a new technology platform.

Using the new online application journey, co-created with Trade Ledger, HSBC customers can transfer data directly through an application programming interface (API). Customers also have the option to upload data through a user interface.

The digital RF solution, built on the Trade Ledger platform, automatically generates a survey and risk report using a rule-based decision engine which is then submitted to the underwriters within hours of the application being received.

The client is kept updated of the status of their application and a final decision is typically received within two days, including an indicative offer.

Commenting on the roll-out Vinay Mendonca, Chief Growth Officer, global trade and receivables at HSBC said, “The last three years have seen an unprecedented shift to digital – 88% of trade finance transactions are now originated online!”

“Digitising our receivables finance approval process makes it simpler, faster, and more secure to apply for working capital. The launch of digital RF eliminates time-consuming and labour-intensive manual processes for our customers. What’s more, they can find out whether their application is likely to be successful within hours rather than months and get quick access to liquidity.”

Martin McCann, CEO of Trade Ledger, said, “The platform has enabled HSBC to offer its customers fast, easy access to working capital.

“Digital receivables finance is the result of a significant team effort to utilise enterprise-grade technology in order to drive customer convenience and tackle the funding gap for businesses across the world.”

The Digital RF application process is now available in eight countries and territories including the UK, Hong Kong, USA, and India. The proposition will go live in a further three countries by the end of the year.