Compliance risks loom for neobanks that ‘move fast and break things’: Digital-only banking players need to put anti-money laundering (AML) measures higher on their list of priorities and invest accordingly, a regulatory tech firm states in a new report.
U.S. Bank does a well-timed deal for business travel fintech: TravelBank offers companies an all-in-one expense management and travel product. The tie-up comes during an ongoing recovery in business travel from its pandemic-induced plunge.
UK payments standard could hurt neobank fees—but help them achieve primary banking status: It’s not if, but when, as the Competition and Markets Authority delays the rollout of recurring push payments that give consumers more control over ongoing transactions.
PNC-backed digital product for freelancers gets a big platform: Launched by the bank’s fintech incubator, indi could get an edge over standalone niche neobanks from exposure to Jobble’s gig worker user base.
New Jersey branch closures bring home a global trend of digital dispossession: Officials in Ocean County are worried about how shuttering locations is affecting seniors. A similar situation is playing out in other countries.
Small banks and fintechs are the next power couples: Two mergers in the US will link up small established players with fintech providers, underscoring the competitive rationale of bringing together older and newer types of financial institutions.
Lockdowns, online shopping, and fear of germs during the pandemic have hastened the shift toward all types of digital payments. As a result, Gen Z has fully embraced electronic wallet services, contactless payments, peer-to-peer payment apps, and digital uses of credit, including buy now, pay later.
Rather than launch competing offerings, we expect firms will support wealth managers’ digital transformation—the threat lies in the nature of these partnerships.
The Europe-based neobank’s acknowledgment of an increasingly apparent reality and its soft retreat could indicate other foreign neobanks are struggling to crack the US market.
Branch services for CaixaBank customers won’t be free anymore: A €2 ($2.28) charge for using in-person banking services that are also available digitally could hasten Spain’s decline in physical banking and prompt banks to escalate measures to fill the gaps.
Starling scales mortgage presence with £1B book deal: The UK neobank’s acquisition will add to the crowd of digital banking players in the home-lending space and set up a rivalry with Atom Bank.