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May, 2019
Archive

680

Banks can use Aadhaar for KYC with customer’s consent: RBI

via The Economic Times

Banks can use Aadhaar for KYC verification with the customer’s consent, the Reserve Bank said Wednesday as it updated its list of documents eligible for identification of individuals.

The RBI specifies Know Your Customer (KYC) norms to be followed by banks and other entities regulated by it for various customer services, including opening of bank accounts. (more…)

Banks, India, InspirAsia

May 29, 2019

666

As Challenger Banks Grow In Popularity, Incumbents Must Innovate

via Fintechnews Singapore

Using technology and digital channels, challenger banks are reimagining banking, delivering superior digital customer experience and challenging incumbents to reinvent themselves.

These are growing in importance and incumbents must “transform themselves from slow moving caterpillars to agile butterflies,” according to a report titled Bank X: The New New Banks by Citi Research.

These challenger banks that are also sometimes referred to as neo banks, are designed around meeting current customer expectations and leverage data insights to offer better personalization and fully digital banking experiences. (more…)

Analytics, Banks, Global trends

May 28, 2019

787

BankMobile Grows Through Partnership Marketing

via Forbes 

BankMobile has the most customers of any mobile-only bank, according to Cornerstone Advisors. The bank reports 1.064 million active accounts, and 1.8 million  open accounts. It has built those numbers through student banking by acquiring HigherOne which provides student checking accounts that are linked to their school’s disbursement of refunds and student aid and more recently through a partnership with T-Mobile. (more…)

Banks, Mobile-first banks

May 24, 2019

762

Dan Ariely on how Qapital uses behavioral finance principles to help people save more

via TearSheet 

Challenger bank Qapital recently named behavioral economist Dan Ariely chairman of the board. One of the foremost leaders in psychology and its application in the personal finance, Ariely joined Qapital in 2015 as chief behavioral economist. He’s been instrumental in shaping how the bank’s members build positive relationships with money.

In November 2018, Qapital introduced tiered subscriptions as well as the addition of a robo investing platform and budgeting tools. The company now has more than 1.6 million members and has helped them save nearly $1 billion to date. (more…)

Banks

May 24, 2019

621

Online bank Simple makes things harder by removing bill pay

via TechCrunch

With a growing number of challenger banks taking on the U.S. market, one of the original startup banks, Simple — now owned by BBVA — has taken the unusual step of removing a core banking feature: bill pay. The company claimed the feature was under-utilized and usage was trending downwards, which is why it decided to sunset the option to pay bills through its app. That decision, not surprisingly, has angered a number of customers who are taking to social media and online forums like Reddit, threatening to switch banks as a result.

It’s likely true that fewer people today use bill pay than in the past. (more…)

Banks, Mobile-first banks

May 24, 2019

988

InstaRem to deliver cross-border payments for Kasikornbank

via Finextra

InstaReM, a leading digital cross-border money transfer company with a global presence,has announced that it will now power cross-border payments for the clients of KASIKORNBANK(KBank), Thailand’s leading banking group, across select markets.

InstaReM already powers payments for three of the top ten Southeast Asian Banks and leading financial institutions across the globe. This partnership with KASIKORNBANK helps InstaReM further entrench itself as a leading player in the institutional payments space.

(more…)

Fintech news, InspirAsia, Remittances, Thailand

May 23, 2019

857

Japan to strengthen crypto AML, KYC laws and look hard at exchanges

via CoinGeek

Exchanges that are a little too lax on their anti-money laundering (AML) and know your customer (KYC) protections will need to start paying more attention. Japan, one of the world’s leaders in cryptocurrency regulation since the fall of Mt. Gox, looks to focus on these areas even more this year in an effort to grow up the industry.

Japanese outlet Nikkei reports the country’s Financial Services Agency (FSA) is “taking a hard look at cryptocurrency exchanges.” This comes as a G20 meeting will visit the country on June 28 and 29, and the FSA is expected to undergo an inspection by the global body’ Financial Action Task Force (FATF) to see how its performing. (more…)

Banks, InspirAsia, Japan, Security

May 23, 2019

598

Challenger bank N26 ordered to bolster money laundering safeguards

via American Banker

The German smartphone bank backed by billionaires Peter Thiel and Li Ka-shing has been ordered to bolster safeguards against money laundering and terrorist financing.

Germany’s financial regulator told N26 to “take appropriate internal safety measures” and “comply with general customer due diligence obligations.” The measures are likely to lead to higher security costs.

BaFin also said in the order, publicly released on Wednesday, that the lender must “remove backlogs in IT monitoring” and “ensure the existence of an adequate personnel and technical-organisational equipment in order to comply with its obligations under money laundering law.” (more…)

Banks, Mobile-first banks, Security

May 22, 2019

1104

Kard is a challenger bank for teens

via TechCrunch

Meet French startup Kard, a challenger bank that works a lot like N26 or Revolut. But Kard is all about convincing teens that their first bank account is going to be a Kard account — a bit like Step in the U.S.

When I talked with Kard co-founder and CEO Scott Gordon, he kept saying that Kard was a product for Generation Z. While I’m not a fan of that buzzword, it still looks like a well-designed app with some personality. (more…)

Banks, Fintech news, Mobile-first banks

May 21, 2019

683

Identity platform provider Auth0 raises $103 million at a valuation of $1 billion

via Venture Beat 

Online data breaches are on the rise, and it’s no great mystery why. In a recent survey conducted by LastPass, 59% of respondents said they reused passwords across multiple accounts and more than half said they hadn’t changed their password in the past year. About 95% of cybersecurity breaches are attributable to human errors like these, in fact, and malicious hackers are taking full advantage: It’s estimated that there’s a cyberattack every 39 seconds on average.

Bellevue, Washington-based identity-as-a-service startup Auth0 intends to reverse the trend, and it’s raising capital as it acts on its plans. The six-year-old company today announced that it has secured $103 million in series E financing led by Sapphire Ventures, with participation from existing investors Bessemer Venture Partners, K9 Ventures, Trinity Ventures, Meritech Capital, Telstra Ventures, and World Innovation Lab. The cash infusion values Auth0 at $1 billion, and it brings its total capital raised to about $210 million. (more…)

Deals, Fintech news, Security

May 20, 2019

1759

How Monzo, Revolut, Starling and N26 plan to topple legacy banks

via WIRED UK

Digital banks aren’t going anywhere – with Monzo, Starling Bank, Revolut and N26 starting to rival legacy banks. Perhaps best known for their personal finance apps, they are now also starting to sell financial products. And there’s a lot more to come.

Meanwhile, traditional high-street banks are trying to up their game by investing in – and imitating – their digital offerings. Last month, for instance, NatWest began trialling Mimo, a new personal finance app with budgeting tools, spending insights and reminders. It will be rolled out later in 2019. Barclays, HSBC and others are also jumping on the bandwagon and adding features to their existing mobile banking apps. (more…)

Banks, Fintech news, Global trends, Mobile-first banks

May 17, 2019

871

Jumio Teams Up to Fight Financial Crime with TruNarrative

via Finovate blog

Financial crime specialist TruNarrative is partnering with identity verification innovator Jumio to bolster its fraud detection and customer onboarding platform. The integration will enable TruNarrative’s existing customers and prospects to verify the authenticity of more than 3,300 ID document types from more than 200 countries and territories. (more…)

Fintech news, Security

May 17, 2019

771

YouTrip, a challenger bank in Southeast Asia, raises $25.5M for expansion

via TechCrunch

Singapore-based startup YouTrip thinks consumers of Southeast Asia deserve a taste of the challenger bank revolution happening in the U.S. and Europe, and it has raised $25.5 million in new funding to bring its app-and-debit-card service to more parts in the region. (more…)

Banks, Fintech news, InspirAsia, Mobile-first banks, Singapore

May 16, 2019

1548

FrankieFinancial signs Australian neo banks to RegTech platform

via Finextra

RegTech startup FrankieFinancial has signed Australian neo banks Xinja and Novatti Group to its financial systems aggregator platform, which provides a single point of access to ID verification, KYC, AML, fraud and credit tools from 114 vendors and data sources. (more…)

Banks, Fintech news, InspirAsia, Mobile-first banks, RegTech, Security

May 15, 2019

746

NetSuite’s Scott Derksen on why ERP sits at the center of banking as a service

via Tearsheet

Open banking is happening — it’s just not coming from the big name brand banks. Banking as a service firms are opening up the banking technology stack so that any finance, retail, or travel app can offer financial services without the headache of becoming a bank.

Oracle’s ERP, NetSuite is also a major player here. As a leading cloud system of record for midmarket and growth businesses, NetSuite has its own banking as a service offering which enables banks to deliver financial services where their customers reside — in the ERP. Major financial institutions like JPMorgan, Visa, and the Marco Polo Network are connected to NetSuite’s BaaS offering. (more…)

Banks, Open Source/ API

May 13, 2019

631

New Medici Bank launches with crypto-friendly outlook

via CoinGeek

A descendent of the famed Renaissance banking family, the House of Medici, has launched a new bank in Puerto Rico with a pledge to accept business from cryptocurrency firms.

Medici Bank has been launched by Prince Lorenzo de’ Medici, and was “born out of frustration with the current financial services landscape.” According to the launch announcement this week, the bank will offer cheaper fees, faster services and greater transparency for its customers. (more…)

Banks, Blockchain, Cryptocurrencies

May 10, 2019

703

Hong Kong Issues More Online Banking Licenses

via PYMNTS

The banking regulator in Hong Kong has issued an additional four online-only banking licenses to Ping An, Alibaba, mobile phone maker Xiaomi and a joint venture (JV) consisting of Tencent, ICBC and Hillhouse Capital.

Reuters is reporting that this totals eight total licenses handed out by the government.

The Hong Kong Monetary Authority, which handed out the licenses, expects the banks to launch in about six to nine months. The new ventures would be closely regulated, with special attention given to customer reactions and the response of the banking industry. (more…)

Banks, Hong Kong, InspirAsia, Mobile-first banks

May 9, 2019

1214

Tink, the European banking platform, partners with British incumbent NatWest

via TechCrunch

It’s easy to push a narrative of fintech upstarts versus the big incumbent banks, but the more subtle reality is that as well as competing on numerous fronts, there are partnerships being formed across the board. The latest such move sees Tink, the Sweden-based banking platform that raised €56 million in new funding in February, partner with British bank NatWest.

The agreement gives NatWest access to Tink’s Personal Finance Management (PFM) and “Data Enrichment” products, which will be integrated into NatWest’s core mobile banking app. This will allow NatWest to improve its mobile banking offering by giving NatWest customers personalised insights into their finances based on transaction history. The features built with Tink’s technology are planned to go live in Q4 2019. (more…)

Banks, Mobile-first banks, PFM/PFP services

May 8, 2019

799

Tandem Recognized as Best New Digital Bank

via Crowdfund Insider

Challenger bank Tandem has been recognized by CFI.co (Capital Finance International) as the “Best Neo Bank UK 2019.”

According to Tandem, the CFI.co judges stated that “Tandem differentiates itself from other banks in the way its people always consider how well a new initiative will work for the customer and how it helps to solve real money problems.” (more…)

Banks, Mobile-first banks

May 7, 2019