Digital lending platform Cashalo has reached a major milestone, surpassing 10 million registered members since launching in 2018 after disbursing more than 6 million loans worth over ₱30 billion nationwide.
The achievement comes as digital lending continues to gain momentum across the Philippines.
A recent industry analysis by consumer finance firm Digido found that downloads of personal loan applications rose 42.4% year on yearto 127.69 million in 2024, while the number of unique users increased 43% to 67.84 million, reflecting the growing role of digital credit in helping Filipinos manage their day-to-day finances.
Against this backdrop, FintechNewsPH sat down exclusively with Cashalo General Manager Gabriel Ayala to discuss the company’s growth, the changing behavior of Filipino borrowers, and where he sees the country’s digital lending market headed next.
For Ayala, Cashalo’s latest milestone is more than just about reaching 10 million users.
Cashalo General Manager Gabriel Ayala
“It says the demand was always there — it just had nowhere to go,” he said, referring to the more than ₱30 billion the company has disbursed since its launch. Rather than being concentrated in a handful of large loans, the funding was spread across millions of borrowers, typically in amounts of just a few thousand pesos, helping Filipinos address immediate financial needs that might otherwise have gone unmet.
“It’s proof that this short-term liquidity product is something people rely on and return to. That’s what real financial inclusion looks like in practice,” he added.
Digital lending becomes everyday financial tool for Filipinos
Ayala believes the biggest change over the past seven years has been how Filipinos perceive digital lending.
“Filipinos have become much more comfortable treating digital lending like a financial tool rather than a last resort,” he said. “People now borrow for a specific, immediate need and repay quickly. As customers graduate to larger amounts, the behavior looks less like emergency borrowing and more like a routine part of how customers manage their finances.”
He noted that while many borrowers still rely on short-term credit to bridge the gap between paydays, more customers are beginning to view digital loans as part of broader financial planning rather than something reserved for emergencies.
According to Ayala, earning that level of trust has required more than simply making loans available online.
He said Cashalo has invested heavily in creating a fast and straightforward borrowing experience, using digital technology and artificial intelligence to verify identities and assess creditworthiness without requiring lengthy paperwork or branch visits. Equally important, he said, is maintaining responsible lending practices as regulators tighten oversight of the sector.
“Our customers have often faced predatory lending practices in the past — hidden fees, aggressive collections, lenders who disappear when things go wrong,” Ayala said. “Our position is that transparent, compliant pricing is simply the right thing to do.”
The strategy appears to be resonating with borrowers. Ayala revealed that roughly eight out of every 10 customers who repay their loans return to Cashalo for another one within days, suggesting that many users have incorporated digital credit into their regular financial routines.
Looking ahead, however, the company believes customers’ financial needs are evolving.
While groceries, utility bills, and unexpected expenses remain among the most common reasons for borrowing, Ayala said Cashalo is seeing growing demand from customers seeking financing for larger purchases such as medical procedures, home appliances, home improvements, and business capital.
To address those needs, the company is developing longer-term installment loans that will offer bigger loan amounts and more flexible repayment periods.
“Someone who needs to pay for a hospitalization, replace a broken appliance, or make a significant purchase doesn’t need emergency cash—they need structured, affordable financing over a few months,” Ayala said.
Rather than simply expanding its product portfolio, Ayala said the broader goal is to help customers gradually build stronger financial profiles.
“We believe in giving every customer a pathway,” he said. “As we build a relationship and trust is established, we can offer better products, larger amounts, and more flexible terms. Credit should be something that opens doors over time, not a ceiling.”
For Cashalo, that means helping borrowers progress from meeting short-term cash flow needs to building the credit history and financial confidence needed to eventually qualify for more traditional financial products, including bank loans and credit cards —a shift that mirrors the broader evolution of digital lending in the Philippines.
