How well are fintechs served by banks?
The relationship between fintechs and banks is complicated and becoming more complex. Fintechs initially set out to replace banks. Many are still looking to do so. But over time, competition has made way for collaboration.
The reality is that – to a greater or lesser degree – every fintech needs to work with a bank from safeguarding services through to access to accounts and multiple payment rails. And the nature of this relationship is coming to define our industry.
In March, ClearBank released a report that explored “How well served are fintechs by banks?” highlighting the challenges fintechs face and the potential impact for both parties, and their customers. The research revealed that one-third of European fintechs have faced regulatory intervention because of their partner bank. Other issues include outages, delayed products, and loss of revenues.
The more the fintech scales and the more they demand from their BaaS (banking as a service) relationship, seemingly the less support they receive; less than a third of respondents were offered access to real-time payments for example.
In this webinar, we were delighted to welcome Simon Jones, Chief Customer Officer at ClearBank. Simon spoke to Dave Birch about the research, how the relationship between banks and fintechs is changing, and what ClearBank is doing to drive this.
To register for the findings of the ClearBank research click here.
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