Cashtree
13 million adults Cameroonian do not have access to financial services and they need loans right now to grow economically and to improve their living conditions.
For many years, banks and other traditional financial institutions have failed to provide financial services to the 13 million people living in urban and rural communities.
Without a way to prove their financial potential and their credit history, 13 million adults are formally excluded from the banking system.
How can we help change this?
We have successfully developed the first digital loan app called Cashtree which not only handles the entire loan process in one minute but can also disburse funds in less than five minutes.
With the help of artificial intelligence and machine learning algorithm, we have created an end-to-end lending process that is simple, fast, reliable, and transparent so that anyone can access financial services via google play store anytime and anywhere.
Imagine having the ability to process a loan in 1 minute with no collateral, no guarantees, and no paperwork!
We have successfully developed a digital lending application that not only generates an entire loan within the 2 minute time frame but that can also facilitate disbursement to a customer in less than 5 minutes.
With the help of artificial intelligence and advanced analytics, we have created an end-to-end loan process that is simple, safe, fast, and transparent!
According to the World Bank, almost 1.7 billion people throughout the world do not have a bank account.
In Cameroon 10% of the population have access to banking services, 39% have access to other formal non-banking services, 15% use informal non-banking services and 36% are excluded of both services
One pathway to financial inclusion is through CashTree. And we are positioned to be the first digital platform in this effort in Cameroon. The flexibility of our terms; the ease of use; and the transparency of our practices make CashTree a viable way to increase banking access while contributing to the creation of wealth, the improvement of living conditions, the development of the private business sector, stronger communities and drive economic growth.
Cashtree targets 51% of the adult population of a rural and urban area in Cameroon , which represents about 13 million adults who have been excluded from the traditional banking system. This include
These include
- Micro-entrepreneurs
- Small farmers and traders
- Public transport cab drivers
- motorcycle taxi
- low income employee
- Buyam&Sellam
- How can countries ensure that digital authentication mechanisms—which often require smartphones, computers and internet access—are accessible to marginalized and vulnerable populations to facilitate remote access to services and benefits?
With the spread of the pandemic worldwide, governments, institutions and businesses are migrating to digital technology. We have seen new ways to connect; mainly via video chat such as Zoom technology and telehealth. Grocery stores have moved to online ordering. Schools in many countries have moved 100% online learning. Cashtree follows the same logic by providing 100% digital services which aligns 100% with the Mission Billion challenge. The Cashtree application is user-friendly, simple and can be easily access by anyone with smart phone. Our mission is to promote financial inclusion and improve better living conditions of marginalized and vulnerable people
- Prototype: An individual or organization building and testing a product, service, or model.
- A new technology
Cashtree has a unique and innovative approach that will distinguish us from other local financial structures such as microfinance companies and potential competitors. Cashtree platform has the following key capabilities that all the lenders in Cameroon does not have:
- It has a Credit Scoring Engine powered by Artificial Intelligence that assesses the creditworthiness of loan applicants based on the data available on their mobile phones.
- In-built fraud mitigation algorithm that cuts out identity theft and data integrity
- The platform provides detailed performance analytics for the businesses, that aid Continuous risk management including impairments and stress testing.
- The platform collects large data sets from the users. These data sets give a 360-degree view of the customer from their spending habits, number of loans taken from other lenders.
- The platform can score thin file clients who have never taken a loan before
Cashtree platform can identify traits associated with good and bad borrowers and base on the customer phone numbers and the geographic area, we can determine the borrower credit worthiness.
Regarding competition, there is not yet a single digital loan company in Cameroon but we believe that as soon as our activity is launched, our economic model could disrupt the traditional Cameroonian financial system and attract potential investors to the market. But we are not afraid of competition, on the contrary, we are very well equipped to face any competitor from anywhere.
The technology we will be using is a new application of an existing technology that has been widely used in India in the microfinance. To use Cashtree application, all you have to do is:
1. Download the Cashtree app
Use your Android phone to download Cashtree from the Google Play store.
2. Create your account
Fill out a simple form in under 5 min and submit for a quick review.
3. Apply for the loan that meets your needs
Loans are conveniently sent to your mobile money in minutes
4. Receive the loan into your account
Repay with your mobile account. Build your credit to unlock larger loan
Our Business model
CashTree generates revenue by charging between 0.5 to 1% interest per day on each loan. Loan made by CashTtree mature in 15 to 30 days. In addition to each loan, we charge the processing fee which vary from 50c pour the minimum loan of $10 FCFA to $6 for the maximum $100. We also charge late and penalty fees for 1% per day.
- Artificial Intelligence / Machine Learning
About 13 million adults in Cameroon do not have access to financial services and they need loan right now to grow economically and to improve their living condition. One pathway to financial inclusion is through CashTree. And we are positioned to be among the first digital platform in this effort in Cameroon. The flexibility of our terms; the ease of use; and the transparency of our practices will make CashTree a viable way to increase banking access to honest citizens and workers while contributing to the creation of wealth, the improvement of living conditions, and the development of the private business sector and lastly, build stronger communities and drive economic growth. That's the change cashtree will bring to the population of Cameroon.
Our solution will open up opportunities such as access to credit, improved living conditions, and wealth creation for the most vulnerable and marginalized groups through inclusive and trusted digital ID. To access our platform we request a national identity card because without it, it will be impossible to have cashtree loan, so we will encourage and help vulnerable and marginalized populations to obtain a national card because the lack of identification creates barriers to access credit
Cashtree solution is user friendly , anyone whose smart phone can access easily our application. To access our application , you should:
1. Download the Cashtree app
Use your Android phone to download Cashtree from the Google Play store.
2. Create your account
Fill out a simple form in under 5 min and submit for a quick review.
3. Apply for the loan that meets your needs
Loans are conveniently sent to your mobile money in minutes
4. Receive the loan into your account
Repay with your mobile account. Build your credit to unlock larger loan
The Cashtree platform is available through API integration which allows our customers to pay back loan and receive money and also facilitates risk management.
The Cashtree application is bilingual. Customers after logging into the cashtree app will have a choice of language between French or English with help instructions at the bottom of each page. It will help people with low literacy to navigate our app. Regarding poor connectivity, the government of Cameroon is doing more to extend 4G internet access to the entire region of Cameroon.
- Women & Girls
- Pregnant Women
- LGBTQ+
- Informal Sector Workers
- Rural Settings
- Urban
- Poor
- Low-Income
- Persons with Disabilities
- Cameroon
There is no current number because we have not yet started operations but we expect 1 million in the next years and 4 to 5 million in the next 5 years
Cashtree's goals are to expand on permanent basis access to credit to 51% adults excluded from financial services by rending the loan process simple, easy, fast, transparent, and with no hassle so that everyone can easily access credit. By doing so, we will close the 51% gap between people excluded from financial services and those who have access to financial services by 2025. We will contribute that way to the creation of wealth, the improvement of living conditions of populations, and the development of the private sector.
There are two barriers that can slow down Cashtree's progress.
the first one is the lack of funding it means Cashtree does not get funding that allows us to provide loans to customers
The second obstacle is culture. The population is not receptive to innovation because this is their first time getting a loan online. They may be afraid that it can be a scam.
To overcome the two Barriers , we should produce an explanatory video on social media to give them why they should get the loan from Cashtree? and provide them with good reasons to apply for a loan from cashtree. Regarding funding, we will partner with a financial institutions and encourage people to invest in cashtree
- For-profit, including B-Corp or similar models
Our solution team is not part of any organization
just 2 for now but the number will increase soon
Co-founder Romain Voufo , Bachelor Degree in management and Master degree in Accounting and Finance . Former Federal reserve bank of Boston employee . Senior Technologist at Houston Methodist
Co-founder Larisse Voufo is a Computer Science PhD graduate from Indiana University’s School of Informatics and Computing. She is currently a Software Engineer at Google
I am planning to hire team member with diverse background in Marketing, banking , microfinance , finance and information technology
A this time there's no partner but I'm planning to partner with some financial institution
Currently, about 13 million adults in Cameroon do not have access to financial services and they need loan right now to grow economically and to improve their living condition.
These include:
- Low-income employees
- Micro-entrepreneurs,
- Small farmers and Traders
- Public transport drivers
- Moto taxi driver
- Buyam & sellam
CashTree will offer loan to the 13 million Cameroonian and will generate revenue by charging interest between 0.5 % and 1 % per day on each loan. The loan made by CashTtree mature in 15 to 30 days. In addition to each loan, we charge the processing fee, which varies from 250 FCFA (25c) pour the minimum loan of 5000 FCFA ($10) to 3500 FCFA ($7) for the maximum 50000 FCFA ($100). We also charge late and penalty fees for 1% per day.
- Individual consumers or stakeholders (B2C)
Cashtree will partner with some financial institutions to make loans as well, we will raise funds through crowdfunding and select visionary angel investors who recognize the importance of our business and the long term value it will bring to all parties. stakeholders.
No funds have been raised yet
Cashtree will be seeking between $250000 and 2 millions dollars after the pilot phase in December 2020
Castree estmated expenses for 2020 is $30000
I am applying for the Mission Billion Challenge global award because I want to help transform the lives of the 13 million Cameroonians living in extreme poverty in urban and rural areas by providing them a small loan that meets their basic needs so that they can grow or progress economically and improve their living conditions. In doing so, Cashtree will accelerate financial inclusion permanently by opening credit to people who have been excluded .
- Funding and revenue model
Cashtree is looking to raise funds after the pilot phase which will start by December 2020. So we need funds to start making loan to customers by January 2021. We are reaching out to visionary investors who recognize the importance of our undertaking and long-term value it will bring to all stakeholders.
We will partner with any financial institution that will help us achieve our goals
Cashtree