Neobanks – Innovative Words http://innovativewords.com/ Sun, 19 Sep 2021 20:57:22 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://innovativewords.com/wp-content/uploads/2021/04/default.png Neobanks – Innovative Words http://innovativewords.com/ 32 32 Neobank Tonik enters the consumer loan market with the launch of the 15-minute quick loan – Back End News https://innovativewords.com/neobank-tonik-enters-the-consumer-loan-market-with-the-launch-of-the-15-minute-quick-loan-back-end-news/ https://innovativewords.com/neobank-tonik-enters-the-consumer-loan-market-with-the-launch-of-the-15-minute-quick-loan-back-end-news/#respond Sun, 19 Sep 2021 07:19:00 +0000 https://innovativewords.com/neobank-tonik-enters-the-consumer-loan-market-with-the-launch-of-the-15-minute-quick-loan-back-end-news/ Digital-only bank Tonik will begin offering its fast lending product, another step in reaching the underserved consumer loan market in the Philippines. “We estimate that there is a potential $ 100 billion market for consumer loans in the Philippines, which is currently 90% unserved,” said Greg Krasnov, CEO and founder of Tonik. “Our plan is […]]]>

Digital-only bank Tonik will begin offering its fast lending product, another step in reaching the underserved consumer loan market in the Philippines.

“We estimate that there is a potential $ 100 billion market for consumer loans in the Philippines, which is currently 90% unserved,” said Greg Krasnov, CEO and founder of Tonik. “Our plan is to change this balance and make affordable loans available to the majority of Filipinos.”

Tonik’s Fast Loan does not require the customer to have a credit history or a pre-existing bank account at another bank, instead relying on alternative world-class credit scoring technologies for the credit decision.

Neobank Tonik Launches Physical Debit Cards With “High Security” Features
Tonik digital bank customers can now transfer funds via PESONet

“Traditional banks require the applicant to have a credit history to approve a loan while over 80% of Filipinos have no credit history,” Krasnov said. “As a result, Filipino consumers are forced to borrow from friends and family or from payday loan providers at very high interest rates. This undermines their long-term financial stability and jeopardizes their future. “

term of the loan

This new product also offers a quick application process of less than 15 minutes, based on the upload of a single piece of ID and the last payslip. The credit decision is usually made within minutes through a proprietary AI-based underwriting. Once approved, funds are instantly credited to the customer’s Tonik account. From there, funds can be withdrawn through OTC partners Cebuana and MLhuillier, transferred to the customer’s other bank account or e-wallet, or paid through an ATM or merchant payment using the card. Tonik flow rate.

By taking advantage of a loan term of up to 24 months, Quick Loan customers can allocate up to P 50,000 of the total loan principal over their monthly budgets. Customers can also set their own preferred monthly repayment dates, as well as save time and lower interest rates by tying their ATM card to payroll.

“We have already attracted nearly $ 80 million in consumer deposits since our launch six months ago,” Krasnov said. “This has validated our ability to rapidly increase our lending resources, and therefore allows us to grow our loan portfolio quickly and without any reliance on third-party wholesale funding. So Quick Lending is just the first in a line of fully digital consumer loan products that we will be launching in the coming months. Our plan is to use advanced digital technology to help solve financial inclusion in the country, ”Krasnov said.

Tonik is supervised by the Bangko Sentral ng Pilipinas (BSP) through its own digital banking license, and deposits are insured by the Philippine Deposit Insurance Corporation (PDIC). Its unique cloud-based solution is powered by global financial technology leaders such as Mastercard, Amazon Web Services and Finastra.

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How FS organizations can enter the new era of digital banking https://innovativewords.com/how-fs-organizations-can-enter-the-new-era-of-digital-banking/ https://innovativewords.com/how-fs-organizations-can-enter-the-new-era-of-digital-banking/#respond Fri, 17 Sep 2021 20:55:04 +0000 https://innovativewords.com/how-fs-organizations-can-enter-the-new-era-of-digital-banking/ This article first appeared in Finance Digest. The financial services (FS) industry is currently undergoing major change. With the adoption of new digital habits, consumers expect more convenience, choice and flexibility in their banking relationships. At the same time, concerted regulatory pressure to encourage innovation and stimulate competition in the banking industry has accelerated the […]]]>

This article first appeared in Finance Digest.

The financial services (FS) industry is currently undergoing major change. With the adoption of new digital habits, consumers expect more convenience, choice and flexibility in their banking relationships. At the same time, concerted regulatory pressure to encourage innovation and stimulate competition in the banking industry has accelerated the investment of FS organizations in Open Banking initiatives around the world. The race to harness customer data and deliver superior, next-generation services and experiences is on.

But there is a problem. The vast majority of SF organizations do not comply with mandates such as the EU’s PSD2-SCA and do not meet application deadlines. In fact, according to recent research from Delphix, only 3% of FS companies are confident they are ready for the next major Open Banking application deadline, slated for September 2021. despite a two-year lead time.

Whether it is challenges related to data privacy, compliance or a lack of resources and skills, FS organizations must overcome the obstacles that are currently hampering the open banking revolution. Only then will they be able to enter a new era of digital banking.

Main obstacles to opening up banking services

Open banking has the potential to revolutionize financial services. Connecting banks, third parties and technical providers – allowing them to share authorized data – will bring more competition and innovation to the industry, which in turn will lead to better products and services. For customers, it will bring more choice and better experiences. For FS organizations there will be new revenue streams and a sustainable service model that will allow them to keep up with new entrants to the market, including neobanks and rival startups.

But using data for innovation can be difficult because it often exists in many disparate systems, silos across an enterprise in different departments. This makes it extremely difficult to deliver it safely, effectively and efficiently to those who need it to glean valuable information or drive new projects. The heavy reliance on existing infrastructure and basic banking systems in need of modernization exacerbates this problem.

Accessing and effectively using data for innovation becomes even more difficult when you add privacy and compliance concerns to the mix. In fact, 62% of financial services companies cite protecting sensitive data across multiple systems and APIs as the biggest data privacy and compliance challenges. Without access to a constant stream of recent, compliant data for the development and testing of APIs and new applications, FS organizations risk losing ground in industry transformation. In addition, they can face heavy fines related to non-compliance with open banking regulations across the world.

While FS organizations must protect sensitive data across multiple systems and Application Programming Interfaces (APIs), they must also ensure that their compliance measures do not limit access to data and preserve its quality and ease. of use. It’s a delicate and difficult balance to strike, with the majority of financial services firms (92%) predicting that their organizational operations will be disrupted when they start deploying Open Banking APIs. However, there are ways to increase their chances of success.

Opening the door to a better bank

Traditional test data management tools are simply not up to the task of scrambling the data of a multigenerational technology stack. Instead, they make it difficult for business teams to perform integration testing while maintaining compliance. That’s why FS organizations should look to DevOps as a way to deliver compliant data quickly through an API-driven data platform.

An API-driven platform that combines data delivery and compliance across multigenerational systems could automate, scale, and optimize testing while mitigating compliance risks. Such a platform would reduce the latency resulting from an inability to find and protect sensitive data and deliver and update environments (for developers working on APIs and new banking products), while increasing productivity and time to market.

BNP Paribas is already a pioneer in combining data compliance and on-demand delivery. The management team wanted to make it easier to use data to increase productivity and performance. By adopting an API-based platform, BNPP has succeeded in radically accelerating the delivery of environments, so that development and testing teams around the world can triple the AI ​​projects going into production and accelerate the delivery of environments. adoption of the cloud. This project improved the quality of the software, reduced downtime and reduced the time to launch its open API market. All of this was achieved while maintaining compliance.

In the first six months of 2020, the number of users of open banking apps or products in the UK doubled, and by February 2021 it had grown to over three million. There is no doubt that Open Banking is the future of finance. In order to stay ahead and thrive tomorrow, financial services companies must act today. Implementing an API-based data platform will enable people working in the industry to unleash the power of their data and enter the Open Banking revolution.

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JPMorgan Chase to open UK neobank next week https://innovativewords.com/jpmorgan-chase-to-open-uk-neobank-next-week/ https://innovativewords.com/jpmorgan-chase-to-open-uk-neobank-next-week/#respond Fri, 17 Sep 2021 19:15:42 +0000 https://innovativewords.com/jpmorgan-chase-to-open-uk-neobank-next-week/ JPMorgan Chase, America’s largest bank in terms of total assets, will launch its city’s digital bank next week, which offers a range of savings and loan products under its ‘Chase’ brand in the UK. The Wall Street mainstay has appointed Sanoke Viswanathan, who was the corporate and investment bank’s chief administrative and strategy officer, to […]]]>

JPMorgan Chase, America’s largest bank in terms of total assets, will launch its city’s digital bank next week, which offers a range of savings and loan products under its ‘Chase’ brand in the UK.

JPMorgan Chase

The Wall Street mainstay has appointed Sanoke Viswanathan, who was the corporate and investment bank’s chief administrative and strategy officer, to lead the UK digital challenger. Viswanathan told The Times and Financial Times today that JPMorgan’s first overseas retail bank will launch in the UK next week on Tuesday.

“This is a very important strategic commitment from the firm’s point of view. We’re going to spend hundreds of millions before we break even and get to a point where it’s a sustainable business, and we’re in no rush, ”he added.

JP Morgan said it was deploying the Millennial Service to onboard “millions of customers over time,” before expanding to other countries in Europe and Latin America.

The digital bank is headquartered in Canary Wharf, London, and it has already created 400 jobs in the UK with more hires expected as it grows.

In 2020, the world’s largest lender by market capitalization is reportedly set to close to enter UK retail banking. JPMorgan, which has more than $ 3 trillion on its balance sheet, has been in discussions with the FCA and other regulators to get the confirmation and approvals needed to launch a digital bank.

The Chase-branded neobank has signed on to Amazon Web Services and 10x Future Technologies to provide them with cloud and digital banking infrastructure.

The launch could cause competition and pricing disruption among legacy lenders, including with rival Goldman Sachs which launched its retail consumer bank Marcus in the UK in 2018.

Marcus had attracted nearly 500,000 UK customers and over $ 20 billion in UK deposits, but the current offering is smaller than what JP Morgan intends to launch. The new venture is likely to target a wider audience, although it is unclear whether it will tap into the UK mortgage market as well.

However, Marcus was slowing the growth of his UK-only online banking after deposits approached regulatory limits, which would require tighter regulations.

New York-based JPMorgan says consumers can open an account online in under 5 minutes and has more than 50 million users, but its consumer banking business has so far mainly operated in the United States. JP Morgan’s UK arm will likely offer savings and checking accounts, but its open banking and lending products will enter a tough market against UK competitors.

In its previous attempt, America’s largest banking offering for digital-only banking was short-lived, with its Finn brand only lasting a year after it launched in the United States in June 2018.

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Tamil Nadu to create a FinTech city https://innovativewords.com/tamil-nadu-to-create-a-fintech-city/ https://innovativewords.com/tamil-nadu-to-create-a-fintech-city/#respond Fri, 17 Sep 2021 15:11:36 +0000 https://innovativewords.com/tamil-nadu-to-create-a-fintech-city/ The government of Tamil Nadu initiated the construction of a FinTech city in Chennai with the Tamil Nadu Industrial Development Corporation (Tidco) which issued a tender to select a project management consultant for the 165 crore project. While a FinTech policy is being prepared, the state government wishes to create an ecosystem in FinTech through […]]]>

The government of Tamil Nadu initiated the construction of a FinTech city in Chennai with the Tamil Nadu Industrial Development Corporation (Tidco) which issued a tender to select a project management consultant for the 165 crore project.

While a FinTech policy is being prepared, the state government wishes to create an ecosystem in FinTech through the project to attract domestic and foreign financial institutions and make Chennai one of the world’s leading service centers. financial.

It will be developed with the supporting infrastructure required to accommodate financial institutions such as banking services, non-banking financial services, financial BPO; regulatory institutions, financial market operations and training centers.

See also: Can we bet on neobanks?

The FinTech City will also complement the efforts of FinBlue, a FinTech Center of Excellence hosted at STPI, Chennai, which identifies, nurtures, finances and evolves FinTech start-ups. The state government had contributed 5.75 crore for the center.

The call for tenders indicated that Tidco had carried out the technical-economic feasibility study and planned to develop the project in three phases as a star model. The state government has allocated 112.8 acres for the project in the city.

Mahesh Ramachandran, general partner, Pontaq Venture Capital Fund, said the FinTech city could be a game-changer to position the state as a financial hub to capitalize on the strong work being done here by global companies,

In May, during an interaction with State Finance Minister Palanivel Thiaga Rajan, CII Southern Region President CK Ranganathan said Tamil Nadu has a vibrant ecosystem to attract investments in the banking and financial services sectors and urged the state government to relaunch the FinTech City project. , which is a dream of Chief Minister MK Stalin.

Political initiatives

In his inaugural budget, Rajan announced the formation of a separate ‘FinTech cell’ in guidance – the Tamil Nadu government’s nodal agency for investment promotion and one-stop-shop facilitation – to promote and facilitate investment. in the areas of FinTech, Global Capacity Centers and Data Centers. The FinTech cell will be set up with members of Guidance and industry to help the state establish links with industry and attract investment.

See also: As India’s bank digitizes rapidly, is it spending enough on IT systems?

Tidco, in association with Tamil Nadu Infrastructure Fund Management Corporation Ltd, has set up a seed fund for the emerging sector with a corpus size of 500 crore. This fund will focus investments in emerging sectors, including FinTech, says the major industries policy brief for 2021-2022.

In addition, under the program for FinTech Institutions, assistance will be provided to FinTech companies that exploit the technology to meet the credit needs of entrepreneurs in the state. Maximum financial assistance under the program is 10 crore per borrower, the policy note says.

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Neobanks Go After Klarna: Monzo Flex Vs Curve Flex https://innovativewords.com/neobanks-go-after-klarna-monzo-flex-vs-curve-flex/ https://innovativewords.com/neobanks-go-after-klarna-monzo-flex-vs-curve-flex/#respond Fri, 17 Sep 2021 05:59:39 +0000 https://innovativewords.com/neobanks-go-after-klarna-monzo-flex-vs-curve-flex/ Alternative loansDigital bank Monzo and Curve both launched their respective “buy now, pay later” products… on the same day… and they’re both called Flex. Image source: Monzo For fintech bank challengers in 2021, launching a “buy now, pay later” feature makes perfect sense. Demand for BNPL is booming. Hopes that this could disrupt the credit […]]]>
Alternative loansDigital bank

Monzo and Curve both launched their respective “buy now, pay later” products… on the same day… and they’re both called Flex.

Image source: Monzo

For fintech bank challengers in 2021, launching a “buy now, pay later” feature makes perfect sense.

Demand for BNPL is booming. Hopes that this could disrupt the credit card industry, one of the most lucrative and competitive financial services markets in the world, seems increasingly likely.

Yesterday two of Britain’s best-known players, Monzo and Curve, did just that. And they called their hot new products of the same name: Flex.

Who was the first? Was it a coincidence? And above all, which one is the best?

Technically speaking, Monzo launched first, giving Curve a few hours, but Monzo, at the time of going to press, has not commented on the name error, but in a tweet the company said it had stealthily reported the name on Monday.

Nathalie Oestmann, COO of Curve says it was just a coincidence.

“Well, it’s kind of like spending months planning a killer outfit and then showing up to see someone wearing the same thing.” But with a lower APR and the potency of Flex much further in time, we think we’re wearing it better, ”she said. AltFi.

So what’s the difference?

Eligible Monzo customers can pay for purchases over £ 30 in three installments at 0% interest or more than six and 12 monthly installments at 19% APR (variable). Credit is limited to £ 3,000.

Meanwhile, Curve allows clients to “step back in time” and convert past payments up to a year ago into installment loans of three, six, nine or 12 months. However, it charges a flat 13% APR, which means it’s cheaper but doesn’t offer a 0% period. Monzo is therefore best for shorter periods of up to three months.

Monzo offers similar functionality to Curve’s back in time functionality, but only up to two weeks after purchasing something.

Curve Flex has been in testing since September 2020 and says it had 1,600 beta users making around 7,000 installment loan transactions worth over £ 1million.

Monzo Loan Officer Kunal Malani said: “We know money stops working for people when debt builds up and becomes a trap – so we listened to customers and designed a better way for them to pay later, which puts them in control. Flex combines Monzo’s technology and banking expertise with its core values, ensuring that customers always have visibility and control over their financial lives and only borrow money they can afford to pay back.

Curve Founder and CEO Shachar Bialick said, “Why settle for a hard copy when you can have the real thing? Curve Flex is almost certainly the most flexible credit solution on the market. Without any limitations for merchants and the ability to accommodate all Mastercard, Visa and Discover cards, Curve Flex will provide customers with easy and affordable credit access. “

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Optherium Labs receives funding from IRETH https://innovativewords.com/optherium-labs-receives-funding-from-ireth/ https://innovativewords.com/optherium-labs-receives-funding-from-ireth/#respond Thu, 16 Sep 2021 20:21:08 +0000 https://innovativewords.com/optherium-labs-receives-funding-from-ireth/ Security experts are pushing the industry boundaries with investment in blockchain-based neobanking services. New York, New York State – FinTech experts at Optherium Labs have taken another step forward in their efforts to revolutionize neobanking with blockchain, receiving a pre-series A investment from security experts at IRETH, based in Italy. Announced on September 1, 2021, […]]]>

Security experts are pushing the industry boundaries with investment in blockchain-based neobanking services.

New York, New York State – FinTech experts at Optherium Labs have taken another step forward in their efforts to revolutionize neobanking with blockchain, receiving a pre-series A investment from security experts at IRETH, based in Italy. Announced on September 1, 2021, this investment forms a solid relationship between two companies paving the way for secure financial service delivery.

Optherium Labs, operating under the umbrella of Omnibek AG, provides SaaS services to large financial institutions, businesses and startups looking to capitalize on the evolving consumer sentiment regarding digital banking. Their blockchain-based infrastructure brings a new level of security to the delivery of financial services at a time when data breaches and fraud are top concerns for consumers. IRETH, which specializes in the development and delivery of authentication and secure transactions, made the following statement regarding the investment in OMNIBEK’s FinTech platform:

“Together, OMNIBEK and IRETH can offer a more complete and secure solution [neobanking] platform, thanks to their infrastructure as a service technology, enriched with advanced authentication and anti-fraud functionalities.

The investment follows an in-depth consumer survey by Optherium Labs and a business partner that finds the public is increasingly interested in digital-only banking. The survey also shows that consumers are interested in developing financial relationships with non-banking institutions. With over 90% of consumers having at least one significant financial relationship with a large business, and the average consumer having nearly a dozen, this partnership aims to provide businesses with the security they need to tap into a growing customer base.

Considering the enhanced functionality provided by the Optherium platform, they are well positioned to take advantage of this expanding market through the use of their innovative solutions:

• A neobank white-label platform offering personalized financial services

• An automated Regtech platform that streamlines integration and administrative processes

• Datavault storage which uses multi-decentralized registers for military-grade security

• Biometric connections that eliminate the need for insecure password credentials

About Optherium Labs

Optherium Labs is a blockchain-based FinTech service created under parent company OMNIBEK. The SaaS solution is designed for legacy financial institutions, large corporations and capital-intensive startups, helping them take advantage of the growing popularity of digital-only banking services. Optherium Labs head office is located in New York, while R&D takes place in Tallinn, Estonia.

Media contact
Company Name: Optherium
Contact: Vadi Ivanen
E-mail: Send an email
Telephone: +12125379492
Country: United States
Website: https://otherium.com/

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Bright Money, an anti-debt tech startup, announces its public launch, with funding of $ 31 million https://innovativewords.com/bright-money-an-anti-debt-tech-startup-announces-its-public-launch-with-funding-of-31-million/ https://innovativewords.com/bright-money-an-anti-debt-tech-startup-announces-its-public-launch-with-funding-of-31-million/#respond Thu, 16 Sep 2021 10:10:00 +0000 https://innovativewords.com/bright-money-an-anti-debt-tech-startup-announces-its-public-launch-with-funding-of-31-million/ After 2 years of development, Bright Money’s MoneyScience™ technology will be accessible to all Americans thanks to this new capital SAN FRANCISCO, September 16, 2021– (BUSINESS WIRE) – Bright Money, a artificial intelligence Funding platform (IA) powered by its unique MoneyScience ™ algorithm, has secured $ 31 million in funding from Sequoia Capital India, Falcon […]]]>

After 2 years of development, Bright Money’s MoneyScience™ technology will be accessible to all Americans thanks to this new capital

SAN FRANCISCO, September 16, 2021– (BUSINESS WIRE) – Bright Money, a artificial intelligence Funding platform (IA) powered by its unique MoneyScience ™ algorithm, has secured $ 31 million in funding from Sequoia Capital India, Falcon Edge Capital and Hummingbird Ventures, as well as investments from leading angel investors including Ram Shriram (member of the board of administration of Alphabet and founder of Sherpalo Ventures).

Bright Money is helping Americans take control of their debt and start building real wealth through personalized, AI-powered financial planning. With its algorithm, Bright Money performs all data calculation calculations and financial planning for each user. Bright Money uses thousands of data points from a user’s financial life to create the best possible path to financial well-being, while integrating into the user’s daily monetary activities. It works to outsmart banks and credit companies, so that every Bright Money user always gets the best decisions for their money.

The Bright Money platform is designed for the real financial needs that matter most to Americans, helping them move forward and achieve their dreams. It aims to deleverage people, improve their credit rating and increase their savings to create real wealth. On average, users pay off over $ 2,200 in credit card debt each year using the platform, saving $ 750 in fees and interest charges and increasing their credit scores by 30 to 100 points.

The platform primarily helps hard-working middle-income Americans – people between the ages of 25 and 40 who earn between $ 50,000 and $ 100,000 a year. These Americans have traditionally been underserved by banks and even recent “neobanks”. Unlike existing products and services, Bright Money doesn’t just offer users more loans or a unique product. Bright Money offers highly individualized planning that responds and adapts to each user’s changing finances, while also enabling smart automated payments that reduce debt and build wealth faster than most Americans can. do it alone.

Bright Money was co-founded by Avi Patchava, a data scientist and Oxford University graduate with a decade of experience using algorithms to solve consumer problems; and Petko Plashkov, a financial services veteran and serial entrepreneur who has successfully created and developed financial products for millennial consumers over the past decade.

“When we started building Bright in 2019, we set out to launch a unique data science-powered system to help Americans organize their finances and fight debt,” says Patchava. “The Series A funding we have secured will allow us to take our platform to the next level, giving users a transformative journey with their money to truly improve their financial futures. We exist to give people real results – not just another financial product. It’s just the tip of the iceberg when it comes to harnessing the power of data science to manage personal finances. “

Bright Money has assembled a team of over 100 silver scientists: data scientists and AI engineers from leading research centers around the world with backgrounds in finance, consumer tech and ad technology. . They spent two years building the MoneyScienceMT platform (a system of 34 separate AI algorithms) from scratch to deliver unique financial planning and insights to consumers. Bright Money’s technology enables hyper-personalized and tailor-made financial plans, typically offered only to the wealthy through dedicated financial advisers.

“We designed Bright to meet the financial planning needs of middle-class Americans with no hidden costs or fees,” says Plashkov. “Bright is only $ 15 a month – affordable for everyone. So you can get the Bright algorithm for your finances, for less than the price of Netflix. Most Americans make a decent living, but they are poorly served. by traditional financials and fintechs that offer one size fits all. Seeing over 30,000 people getting results with the Bright platform in beta, we know we are building a platform for the future of business. people’s money. “

“Bright has invested in creating a unique technology-based solution to help consumers manage their money and reduce their debt,” said Shriram. “The consumer debt and savings industry is ripe for innovation, to deliver real value and simplicity to users looking to improve their financial lives. “

For $ 15 per month, users have access to all the useful tools on the Bright Money platform, educational resources – The School of MoneyScience ™ – and 24/7 access to customer support over the phone. , email and chat. Based in San Francisco, with offices in London and Bangalore, Bright Money currently has 150 data science and customer service team members, and is compatible with 14,000 banks across the United States. To learn more about Bright Money, visit brightmoney.co.

About Bright Money

Bright Money is a artificial intelligence (AI) funding platform powered by its unique MoneyScience ™ algorithm, designed to help Americans take control of their debt and start building real wealth. Bright Money’s technology allows all users to access highly personalized financial plans – typically only available from financial planners who charge thousands of dollars – to pay off credit card debt, build their credit score, and get started. to save. Bright Money delivers results to its users, with the average customer paying off $ 440 in debt in the first three months and saving $ 750 a year in interest. Bright Money’s patented platform has helped over 30,000 Americans to date, managing hundreds of millions of debt. Bright Money was founded in 2019 by Avi Patchava, a leader in the AI ​​industry; and Petko Plashkov, a serial financial services entrepreneur; and has teams in San Francisco, London and India.

SilverScienceMT, Bright Money’s patented AI platform, uses thousands of data points about each consumer’s financial life and 34 algorithms to create highly personalized financial plans for users. The science of moneyMT The system was built over two years by leading experts in AI and machine learning, combining fundamental AI technology from other industries (adtech, entertainment, robotics and industrial automation) with best practices in personal finances. The results are simple, understandable, high-impact plans that are uniquely tailored for each individual – hyper-personalized for each user. Currently, such detailed planning is only available from professional financial planners who charge thousands of dollars for such a service.

See the source version on businesswire.com: https://www.businesswire.com/news/home/20210916005109/en/

Contacts

Darby Rowe
Gregory FCA for Bright Money
Darby@gregoryfca.com
610-228-2148

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Optherium Labs receives funding from IRETH. Security experts are pushing the industry boundaries with investment in blockchain-based neobanking services. https://innovativewords.com/optherium-labs-receives-funding-from-ireth-security-experts-are-pushing-the-industry-boundaries-with-investment-in-blockchain-based-neobanking-services/ https://innovativewords.com/optherium-labs-receives-funding-from-ireth-security-experts-are-pushing-the-industry-boundaries-with-investment-in-blockchain-based-neobanking-services/#respond Mon, 13 Sep 2021 10:49:52 +0000 https://innovativewords.com/optherium-labs-receives-funding-from-ireth-security-experts-are-pushing-the-industry-boundaries-with-investment-in-blockchain-based-neobanking-services/ NEW YORK – FinTech experts at Optherium Labs have taken another step forward in their efforts to revolutionize neobanking with blockchain, receiving a pre-series A investment from security experts at IRETH, based in Italy. Announced on September 1, 2021, this investment forms a solid relationship between two companies paving the way for secure financial service […]]]>

NEW YORK –

FinTech experts at Optherium Labs have taken another step forward in their efforts to revolutionize neobanking with blockchain, receiving a pre-series A investment from security experts at IRETH, based in Italy. Announced on September 1, 2021, this investment forms a solid relationship between two companies paving the way for secure financial service delivery.

Optherium Labs, operating under the umbrella of Omnibek AG, provides SaaS services to large financial institutions, businesses and startups looking to capitalize on the evolving consumer sentiment regarding digital banking. Their blockchain-based infrastructure brings a new level of security to the delivery of financial services at a time when data breaches and fraud are top concerns for consumers. IRETH, which specializes in the development and delivery of authentication and secure transactions, made the following statement regarding the investment in OMNIBEK’s FinTech platform:

“Together, OMNIBEK and IRETH can offer a more complete and secure solution [neobanking] platform, thanks to their infrastructure as a service technology, enriched with advanced authentication and anti-fraud functionalities.

The investment follows an in-depth consumer survey by Optherium Labs and a business partner that finds the public is increasingly interested in digital-only banking. The survey also shows that consumers are interested in developing financial relationships with non-banking institutions. With over 90% of consumers having at least one significant financial relationship with a large business, and the average consumer having nearly a dozen, this partnership aims to provide businesses with the security they need to tap into a growing customer base.

Considering the enhanced functionality provided by the Optherium platform, they are well positioned to take advantage of this expanding market through the use of their innovative solutions:

  • A neobank white-label platform offering customizable financial services
  • An automated Regtech platform that streamlines onboarding and administrative processes
  • Datavault storage which uses multi-decentralized registers for military-grade security
  • Biometric connections that remove the need for insecure password credentials

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Optherium Labs is a blockchain-based FinTech service created under parent company OMNIBEK. The SaaS solution is designed for legacy financial institutions, large corporations and capital-intensive startups, helping them take advantage of the growing popularity of digital-only banking services. Optherium Labs head office is located in New York, while R&D takes place in Tallinn, Estonia.

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Branch Out: How the pandemic made in-person banking obsolete https://innovativewords.com/branch-out-how-the-pandemic-made-in-person-banking-obsolete/ https://innovativewords.com/branch-out-how-the-pandemic-made-in-person-banking-obsolete/#respond Sat, 11 Sep 2021 21:02:36 +0000 https://innovativewords.com/branch-out-how-the-pandemic-made-in-person-banking-obsolete/ by Zviki Ben-Ishay, CEO of Lightico The COVID-19 pandemic is less than two years old and yet already “everything is different after the pandemic” has become a cliché. It goes without saying that “everything” absolutely includes the bank. COVID has changed the way we earn and spend our money, so it stands to reason that […]]]>

by Zviki Ben-Ishay, CEO of Lightico

The COVID-19 pandemic is less than two years old and yet already “everything is different after the pandemic” has become a cliché. It goes without saying that “everything” absolutely includes the bank. COVID has changed the way we earn and spend our money, so it stands to reason that the ways we save and invest our money must change as well. The banks and trust organizations best able to adapt to these new changes will see the least disruption as we find our new normal and set the stage for the evolution of the entire banking industry and service. adequacy of its clients during and after the crisis. But to do that, they need to recognize how banking trends are pointing towards usability and convenience and away from branches and fees.

When the COVID-19 pandemic struck, many experts predicted that frightened consumers and investors would start a ‘flight to quality’, shifting their assets from smaller banks and neobanks to larger banks that would appear to be more bets. safe to overcome the crisis. “Quality” here is a polite way of saying “too big to fail” – in the event that COVID causes a real crash like in 2007, big banks are more likely to receive a government bailout, theoretically making money safer. in a standing organization no real chance of sinking. Of course, the more people’s money flows into these banks, the more of a self-fulfilling prophecy it becomes.

At first, this prediction turned out to be true. The big banks benefited from a noticeable increase in deposits when the pandemic first gained momentum. But as consumers began to realize what the pandemic and self-quarantine really involved, those same big banks found one of their main selling points – their physical branches – to be a major weakness.

Bank branches have historically been more popular with older consumers, who prefer the face-to-face interaction and sense of stability offered by a physical location with the comforting attributes of a trust organization. Being older, they have generally found it difficult to switch to mobile banking, which is on the rise among younger consumers, most of whom avoid branching out whenever possible. With mobile verification getting easier and fewer businesses using cash-only payment models, the need to go to an ATM has all but disappeared.

The convenience of online banking is exactly what bodes so badly for the post-pandemic future of big banks. Stuck at home for their health, older consumers and others who preferred in-person banking were forced to switch to an online model. And evidence shows they plan to stick to it even after COVID is dealt with. For many people, the barrier to online banking is the perceived usability, but because online banking is now so streamlined and convenient (many banking apps require a face scan instead of a password to do so). access), the very user-friendliness outweighs the need to go visit a bank and queue up just for that personal interaction and nostalgia (which, without that barfrier friendliness, are really all a branch’s offerings.)

With the move away from in-person banking, physical branches are suddenly shifting from a need to keep certain demographics business to an outright liability. Maintaining each branch is expensive, often in the high six figures per year. To maintain this existing real estate, the big banks have to charge fees for overdrafts, low account balances and only basic services, which can account for 40% of income. And these fees disproportionately target economically disadvantaged populations, including many elderly consumers, who turn to neobanks that charge no fees because they have no physical branches to maintain. Suddenly, these magnets for traditional bank customers have become expensive albatrosses around the necks of the big banks.

So while some accounts shifted to big banks early in the crisis, as the pandemic ended (albeit far too slowly), the banking landscape is moving away from older organizations with legacy infrastructure. Being stuck inside has forced even bank branch devotees to switch to online banking, which benefits neobanks, whose lack of fees to support this infrastructure makes them more adherent to new users. So while there has been a short-term “flight to quality”, the long-term “migration to convenience” caused by the pandemic will eventually change the face of banking forever. And just as the transition to working from home can be a rare silver lining of convenience and independence for workers in the wake of the horrors of COVID, the end of physical branches and the shift to toll-free online banking is finally. a blessing for consumers.

[Bio for Zviki]

© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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BofA challenges neobanks with its new anti-discovery product https://innovativewords.com/bofa-challenges-neobanks-with-its-new-anti-discovery-product/ https://innovativewords.com/bofa-challenges-neobanks-with-its-new-anti-discovery-product/#respond Thu, 09 Sep 2021 04:01:46 +0000 https://innovativewords.com/bofa-challenges-neobanks-with-its-new-anti-discovery-product/ The news: Bank of America is add another offer intended to limit clients’ exposure to overdraft fees. He also revealed that his existing products are gaining traction. The banking giant unveiled Balance Connect, which allows customers to create a priority list of up to five external accounts from which to automatically transfer funds in the […]]]>

The news: Bank of America is add another offer intended to limit clients’ exposure to overdraft fees. He also revealed that his existing products are gaining traction.

The banking giant unveiled Balance Connect, which allows customers to create a priority list of up to five external accounts from which to automatically transfer funds in the event of an overdraft.

Separately, BofA disclosed milestones for the following:

  • An account with no overdraft fees, SafeBalance Bank, crossed the 3 million mark for customers, with accounts growing by over 40% over the past year.
  • A short-term liquidity assistance loan program, called Balance aid, is should cross the 100,000 mark for loans. The offering launched in select states in December 2020 ahead of its domestic debut in March 2021.

More on this: The bank’s rollout marks the latest sign of a growing backlash against overdraft fees in the United States:

  • Legislation: A new state law in New York, banks that maintain checking accounts must pay checks in order of receipt. It also gives depositors with bad checks due to insufficient funds the right to have smaller checks honored if a balance is large enough to cover them.
  • Marlet: More and more banking players have deployed liquidity assistance systems that limit clients’ exposure to overdrafts. The features are offered by neobanks like Carillon and Varo, as well as holders such as PNC and Fifth Third Bank.

The overview: BofA’s product reflects a growing trend of established banks, blunting what was a competitive advantage for digital challengers.

In recent months, cardholders have taken action against the fees:

  • from TD Bank current account free of charge, announcement in June, that door a monthly cost for customers over 17 years old.
  • Allied bank decision to definitively abandon overdraft fees.
  • Huntington giving access to customer direct deposit up to two days in advance.

Approaches from established players complicate neobanks’ efforts to gain clients, including persuading them to choose challengers as their primary banks. Neobanks will also struggle to find new ways to stand out with their products in the future.

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