C6's head of high income announced that the bank's goal for the coming months is to have at least one office in each of the country's capital cities and in other towns with a large number of potential wealthy clients.
The move comes about a month after C6, established in 2019, launched Carbon, a platform focused on the roughly 20 million account holders who have an income of more than USD 2,862 per month.
C6's face-to-face units will have about 10 employees each and are expected to increase client engagement by providing a more detailed and customised approach than its larger rivals.
Similar units in Brazilian large cap lenders include Banco Bradesco SA's Prime (BBDC4.SA) and Banco Santander Brasil SA's Van Gogh.
With the physical branches initiative, C6 aims to increase its share in the high income market, which it expects to cover some 5 million people in the country.
Physical branches still offer services that people can't get from an online-only bank. Branches sell cashier's checks and money orders, notarize documents, and hold safe deposit boxes. You can get those services from a variety of other places (usually), but it might be easier to do everything at the bank.
Even in the age of online banking, you still probably need an account with a brick-and-mortar bank or credit union. Online banks typically link to your brick-and-mortar account, although it may be possible to bank exclusively online. Having an account with a local institution is smart, as it enables you to take care of important transactions in person, and you may occasionally require additional services (during crucial life events).
Since the beginning of the COVID-19 pandemic, around 16 million people have been enfranchised into the Brazilian financial system. In fact, the increased migration to online services during this period means 85% of Brazilians now have access to financial services.
In Brazil, the pro-innovation regulatory landscape allowed digital banks to leverage new technologies, which have been critical for the growth in financial inclusion seen during the pandemic. However, that is not the case for every LAC country, especially for micro, small and medium enterprises (MSMEs).
One study found out that merchant onboarding processes are one of the main obstacles for the inclusion of 80% of MSMEs in the formal economy, and the reason they remain informal.
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