Neobanks - Did you know!

in #banks2 years ago (edited)

The increasing use of mobile technology and banks loosing people’s trust for traditional banks following the economic crisis make this a fertile time for new financial firms.

Neobanks is gaining media attention. Neobanks can be characterized in various ways. To understand how these banks differ from traditional banks, it may be useful to look at how they relate to a pillar of traditional banking: the right to offer banking services. All traditional banks have their own bank license, but one way to group Neobanks is based on how they acquire the right to operate.

Neobanks being one of the startup collection to manage your money digitally. Everything from the account-opening process to the customer service experience is unlike traditional banking. Neobanks existense started in 2010 with varying degrees of success. Today the landscape is shifting, with some neobanks acting more and more like traditional banks, even as traditional banks try to compete with the neobanks by launching stand-alone brands. It is important to know that neobanks are usually not banks.

How does Neobank differ from traditional banks:

•Low cost structure: no monthly fees, no withdrawal costs and low reloading fees.
•Large ATM networks with no fees.
•No overdraft fees
•A simple and engaging mobile experience.
•Real-time balances
Some neobanks also provide ways to use retail facilities for making deposits, reloading their accounts or paying bills

Disadvantages of Neobanks:

•No branch access
•No personal touch
•No deposit option of physical cash
That is not to say neobanks themselves aren’t evolving, and this criticism might not be true within a few years.

Future of Neobanks:

•Likeky to expand into new product lines
•Traditional banks will tap into this market fir their benefit.

Neobanks are called Challenger Banks in Europe.

Sort:  

You got a 2.82% upvote from @minnowvotes courtesy of @pearliciousme!

really loved it i want to know more about it if you guys are starters then im also intrested in helping you with it and also promoting it

You got a 24.27% upvote from @brupvoter courtesy of @pearliciousme!

Congratulations, your post received 18.97% up vote form @spydo courtesy of @pearliciousme! I hope, my gratitude will help you getting more visibility.
You can also earn by making delegation. Click here to delegate to @spydo and earn 95% daily reward payout! Follow this link to know more about delegation benefits.

Great post!
Thanks for tasting the eden!

You got a 52.06% upvote from @emperorofnaps courtesy of @pearliciousme!

Want to promote your posts too? Send 0.05+ SBD or STEEM to @emperorofnaps to receive a share of a full upvote every 2.4 hours...Then go relax and take a nap!

You got a 10.02% upvote from @upmewhale courtesy of @pearliciousme!

Earn 100% earning payout by delegating SP to @upmewhale. Visit http://www.upmewhale.com for details!

Coin Marketplace

STEEM 0.15
TRX 0.03
JST 0.023
BTC 13212.17
ETH 383.04
USDT 1.00
SBD 0.97