“It all started with a tweet from 11:FS co-founder Simon Taylor. If the U.K. government could be persuaded to provide financial support to the self-employed during the Coronavirus crisis, as it has already pledged for full-time employees, then Open Banking technology could be used to self-certify lost income, and therefore overcome one of the main hurdles of administering potential compensation.”

“Credit Sesame, a company that helps consumers manage their credit, is launching a digital banking service called Sesame Cash, offering consumers bank accounts that charge no overdraft, minimum balance or monthly service fees.  The service will offer customers a debit Mastercard, an FDIC-insured account with Community Federal Savings Bank, free access to 55,000 ATMs and advanced access to paychecks and cash rewards if they improve credit scores.”

“As much as 13.7% of Australian banks’ payments revenue, or US$3 billion, is likely to be displaced by the growth of digital payments and competition from non-banks, as payments become more instant, invisible and free, according to a new report from Accenture. The report found payments revenue in Australia will likely grow at an annual rate of 3.7%, from $18.7 billion in 2019 to more than $23 billion by 2025.”

“But a new wave of microsavings apps claim to help people like me save more without drastically changing our habits (think saving $1 at a time, rather than $100). Generally, these apps take small amounts of money from a linked bank account and deposit the change into a designated savings or investment account. They promise that your money is safe and your data is encrypted and never sold.”

“Beginning today, immigrants living in the United States have access to a banking solution designed specifically for their needs: Passbook by Remitly . Built by Remitly , the largest independent digital remittance company in North America, Passbook is eliminating the barriers and complexity of opening a bank account, removing fees, enabling easy and secure international use, and offering new international money transfer benefits.”

“Just 2% and 3% of UK consumers surveyed by YouGov use budgeting apps and investment apps, respectively, to manage their money. Additionally, only 8% of consumers said they use digital-only banks to do so, which indicates that low adoption is an issue across the fintech space.  Although consumers aren’t adopting fintech services, interest in online financial services offerings is high.  Over half (53%) of respondents reported that they budget their money with a mobile banking app from a traditional bank or building society, revealing a large gap between the adoption of startup offerings and those from legacy players.”

“Fintech is a crowded space. But a new subgenre is emerging to attract the world’s 1.8bn Muslims with a Shariah-compliant alternative. Young Muslims want in on Europe’s fintech scene. Their pitch is that Muslims, who make up 20% of the world’s population, have been underserved not only by traditional banks, but also by modern fintechs. Shariah law forbids Muslims from earning or paying interest, engaging in “unequal transactions” or supporting “unethical” investments. Most European financial institutions therefore do not cater for halal (permissible) trading, savings, insurance or mortgages, and brick-and-mortar Islamic banks like UK-based Al Rayan have been slow to catch up.”

“Tonik Financial Pte, a Singapore-based fintech, said its Tonik Digital Bank Inc. subsidiary in the Philippines was granted regulatory approval to operate the first pure digital bank in that country.  The approval from Central Bank of the Philippines will allow Tonik to provide a range of financial services in that market, focused primarily on retail deposit accounts and consumer loans.  The company considers that market ripe for disruption, with a $140 billion retail deposit market and a $100 billion unsecured consumer lending market.”

“Cross River is on a lending tear. It is underwriting loans at the rate of more than $1 billion a month—some $30 billion worth in just nine years. But unlike in banks of yesteryear, virtually all Cross River’s lending officers aren’t human beings. They are apps. Cross River’s loans originate mostly from 15 or so buzzy venture-capital-backed financial technology startups, so-called fintechs, that go by names like Affirm, Best Egg, Upgrade , Upstart and LendingUSA. The fintechs provide the customers; Cross River provides the licenses and infrastructure. It holds 10% to 20% of each loan it issues, and the massive volume of fintech loans has propelled Cross River to $2 billion in assets, up from $100 million a decade ago.”

“Robinhood, the six-year-old Bay Area startup that pioneered zero-fee stock trading , announced today (Dec. 12) that it will soon allow customers to buy and sell tiny increments of equity —so-called fractional shares—in their favorite companies. The feature is expected to begin with a limited rollout to US customers next week.”

“Fintech startup Revolut is adding a key feature for users who want to replace their traditional bank account altogether. You can now pay with GBP direct debits. Revolut already added EUR direct debits last year . While most people use cards to pay for goods and services in the U.K., some businesses require you to pay with direct debit. It can be a utility bill, a gym membership or a phone contract for instance.”

“Bank of the West, a subsidiary of BNP Paribas, and Brex, the corporate card that accelerates entrepreneurs and scaling businesses, today announced a co-branded corporate card with no security deposit and no requirement for U.S. credit history. As the first co-branded corporate card announced by Brex, this card supports Bank of the West’s focus on enhancing the business solutions available to its commercial clients and follows the recent launch of the Bank’s Innovation Hub, which offers dedicated banking services for startups.”

“Add HMBradley to the list of Los Angeles-based startups looking to shake up the world of high finance typically dominated by East Coast giants with names like JPMorgan Chase, Citigroup, Morgan Stanley and Goldman Sachs. The new Santa Monica, Calif.-based bank joins companies like Aspiration and Acorns in trying to offer consumers new ways to manage their finances. Founded by a team of fintech veterans and backed by PayPal founder Max Levchin, HMBradley got its start in Levchin’s HVF Labs, a San Francisco-based venture studio.”

“This time it actually has insurance. Zero-fee stock-trading app Robinhood is launching Cash Management, a new feature that earns users 2.05% APY interest on uninvested money in their account with the ability to spend it through a special Mastercard debit card. The waitlist opens today in the U.S. with the first users to be admitted soon. “If you have $5,000 in your account while you’re thinking about what to invest in, you’d have an extra $105 at the end of the year” thanks to Robinhood Cash Management’s interest, co-CEO Baiju Bhatt tells me.”

“Brex, a Silicon Valley fintech darling, has lofty plans to battle big banks —and Stripe. Code-named “Gemini,” Brex today announced a new product designed to replace and improve the functionality of traditional bank accounts. Brex Cash , as it will be known publicly, is a business cash management account integrated with the Brex Card, a corporate card for startups launched in 2018.”