The ‘neo-banks’ are finally having their moment

Source: Nathaniel Popper, New York Times (Paid Registration)

Chime, the biggest new name to pop up, has opened two million fee-free online checking accounts and is adding more customers each month than Wells Fargo or Citibank. That has inspired a crop of newer start-ups, like Empower, which started its first fee-free online checking accounts, with lots of digital bells and whistles, in October.

Venture capitalists are pouring money into American start-ups that are offering basic banking services—known as neo-banks or challenger banks. In 2018 so far, American neo-banks have gotten four times as much funding as they did last year, and 10 times as much funding as they did in 2015, according to data from CB Insights.

Read Full Article: The ‘neo-banks’ are finally having their moment

 

Tags/Keywords


 

Search

Quick Menu

Facebook FTwitter T
 

Consumer Help Desk

Advocacy