"Always paying on time and settling debt, yet never got an interest discount." This is a thought many people have had.
At the national level, the Bank of Thailand has also considered this issue: people with good financial credit and lower risk should receive lower interest rates, which is the basis for Risk-based Pricing (RBP).
The key point is how banks actually apply this principle and how to make it beneficial for the public. Today, Thairath Money invites you to examine a case study of ttb (TMBThanachart Bank), which has been implementing this for several months.
Nowadays, before banks or financial institutions grant loans, they need to gather as much information as possible about the individual to assess loan eligibility. A crucial source is data from the National Credit Bureau (NCB), which collects financial behavior, such as whether payments are made on time, types of debts, and lending companies involved.
Recently, NCB has promoted a Credit Score system to provide clearer insight to borrowers. Scores range from AA to HH, with AA being the highest level, likely granting the best loan opportunities.
Thai banks commonly consider Credit Scores along with many other factors when granting loans, such as consistent income, income source, borrower’s age, and financial behavior.
Thakorn Piyapan, CEO of ttb, stated that since early 2026, the bank launched the “Good Payer Loan” project by adopting the Risk-based Pricing (RBP) principle. ttb is the first and only bank in Thailand to use Credit Scores to determine "interest rates" for customers.
When customers apply for loans, the approval and credit limit use the bank’s usual criteria, such as income and financial history. However, determining the "interest rate" now incorporates the current Credit Score. This is applied to two loan types: ttb Cash2Go personal loans and ttb Drive title loans without ownership transfer.
Customers with good Credit Scores receive better loan interest rates. For example, those with an AA score on Cash2Go loans get a 13.99% annual rate, compared to market rates up to 25%. Previously, these loans were mostly based on income. Title loan interest rates were previously based on vehicle age.
Additionally, applying RBP and Credit Scores is expected to motivate people to maintain good financial records. The NCB data covering the past five years provides an appropriate reflection of customers’ financial status and behavior.
Chatcharit Tangthekingkiet, Head of ttb’s Auto Loan Group, explained that using Risk-based Pricing and Credit Scores has yielded positive results, showing a decrease in non-performing loans (NPL) compared to previous lending models. Currently, ttb’s title loan NPL rate is below 1%.
Moreover, the overall title loan market, with over 4-5 million vehicles, still offers room to expand the customer base continuously, beyond ttb’s nearly one million existing customers. However, the bank remains cautious due to the slowing economy, recognizing some customers, like freelancers and pickup truck owners, may be affected. The bank closely monitors these clients and promptly offers assistance measures.
The target from August to December 2026 (five months) is to disburse title loans to 14,000 customers with a total loan amount of 5 billion baht, expected to save customers 1 billion baht in interest over the loan terms.
Finally, although NPL has not significantly increased, so the bank’s debt collection system has not been tightened (late payments incur a 50 baht + VAT collection fee and follow-up steps), the focus remains on quality lending.
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