In an effort to support consumers in the wake of COVID-19, the Royal Bank of Canada (RBC) recently announced the new Client Relief Program. The initiative includes reduces credit card interest charges by 50 percent for cardholders who are getting their minimum payment on the credit card deferred. Once customers have an advisor complete a financial review, consumers will be eligible for a 50% credit for any interest accumulated during the deferment period. The program also includes mortgage support, auto finance loans, and lines of credit, among others.
To facilitate meeting with an advisor during new social distancing regulations, RBC launched an online booking tool that enables customers to virtually meet advisors in the safety of their homes.
Branded Reduced Credit Fees
RBC Announced it Reduced Interest Charges by 50% Amid COVID-19
Trend Themes
1. Reduced Credit Card Fees - The RBC Client Relief Program offers a 50% reduction in credit card interest charges, presenting an opportunity for other financial institutions to implement similar fee reductions.
2. Virtual Financial Advisor Meetings - RBC's online booking tool for virtual advisor meetings highlights the potential for other banks to develop digital platforms to connect customers with financial advisors remotely.
3. Comprehensive Financial Support Programs - The RBC Client Relief Program's inclusion of mortgage support, auto finance loans, and lines of credit presents an opportunity for other financial institutions to expand their support offerings and cater to a wider range of customer needs.
Industry Implications
1. Financial Services - The reduced credit card fees trend in the RBC Client Relief Program presents an opportunity for financial services companies to rethink their fee structures and provide more competitive offerings.
2. Fintech - The virtual financial advisor meetings trend demonstrated by RBC's online booking tool highlights an opportunity for fintech companies to develop innovative digital solutions for connecting customers with financial advisors.
3. Banking - The comprehensive financial support programs offered by RBC's Client Relief Program open avenues for the banking industry to enhance their existing support offerings and attract more customers.