Hang Seng Bank has launched an end-to-end digital application process for the 80% Guarantee Product under Hong Kong’s SME Financing Guarantee Scheme (SFGS), offering approval-in-principle in as fast as 10 seconds.

The new Hang Seng digital SME loan service allows SME customers to apply online for facilities up to HK$8 million.

The process includes digital ID verification and electronic signatures for loan document execution.

Separately, Hang Seng is changing how it assesses unsecured SME Business Loans. The bank is allowing retail and food and beverage customers to opt into credit assessments based on alternative data.

Through partnerships with electronic payment platform KPay and food ordering platform DimOrder, the bank will evaluate creditworthiness using transaction volumes and e-payment records.

This alternative data lending model reduces reliance on traditional bank statements.

Under this approach, the maximum unsecured loan amount has been doubled to HK$4 million. Hang Seng estimates this enhancement could benefit an additional 50,000 eligible SME customers.

“At Hang Seng, we are reshaping SME financing to match the pace of modern business,”

said Regina Lee, Head of Commercial Banking at Hang Seng Bank.

“Giving SMEs the option to use alternative data helps reduce traditional frictions. Our focus is simple: to streamline financing so SMEs can stay focused on growing their businesses,”

Lee added.

Hang Seng supports the alternative data lending approach through its multiple payment platform, Hang Seng Merchant Business.

These digital upgrades are part of Hang Seng’s broader push to support Hong Kong SME financing.

Featured image credit: Edited by Fintech News Hong Kong, based on image by viktoryvisuals via Freepik