Kate Carnell urges pressure on banks to change
Small business ombudsman Kate Carnell will today issue a strong warning to government that after 17 inquiries into the banking industry since the GFC the time has come to put pressure on the banks to change their practices. Carnell’s report on small business lending is due to be released today by Revenue and Financial Services Minister Kelly O’Dwyer and Small Business Minister Michael McCormack. It will say the banks have treated small business unfairly. The recommendations include blocking default action on loans under $5 million where the business has complied with the terms. It also wants a revised code of conduct from the banks written in plain English and with […]
Fintech platforms disrupting business finance
The term ‘fintech’ covers a wide and ever-growing range of technologies. This article explores some of the biggest game-changers, and how they’re impacting the way businesses are managing their financial affairs. Treasurer Scott Morrison said of fintech in 2016: “It has the power to completely bring in a new environment of competition. For small businesses out there who find it difficult to attract capital, for large government agencies who are struggling with convoluted and difficult payment systems … to medium-sized businesses that are trying to bring their products up to date and to connect with their consumers in ways they haven’t before.” Then on his visit to a G20 Conference […]
Robo-advice using algorithms are replacing financial planners
Robo-advice is part of a new financial marketing system that could chug along without much human intervention and is aimed at giving you a sense of financial security.
Peer-to-peer lenders lead increase in personal loans
Personal loan applications rose strongly during the December 2016 quarter, with much of the growth coming from online marketplace lenders. The latest Quarterly Consumer Credit Demand Index from credit agency Veda shows the number of personal loan applications for the December 2016 quarter was 12.4 per cent higher than the December 2015 quarter. “Growth in personal loan applications is predominantly coming from products offered by new entrants in the personal lending space, beyond traditional credit card and auto finance markets,” says Angus Luffman, Veda’s general manager of consumer risk. He is referring to the new wave of online marketplaces that can offer investors higher rates of interest than they can […]
SocietyOne appoints John Cummins as Chief Investment Officer
SocietyOne, Australia’s pioneering and leading lending marketplace, has appointed John Cummins to the new role of Chief Investment Officer, a position which reflects the critical importance of its investor funders to the company’s future growth. John will have responsibility for all of SocietyOne’s funding requirements to support demand from an expanding number of borrower customers. This will include building on SocietyOne’s existing network of investor funders who include large financial institutions, mutual banks, credit unions, high net worth individuals and SMSFs. John will also play a key role in helping the company to achieve its five-year goals of expanding and deepening its funding base to support growth in borrower customers […]
US fintech SoFi targets mortgage lending in Australia
One of the best-funded financial technology companies in the US, SoFi, is preparing to launch in Australia to offer mortgages in direct competition with the banks. In recent days, the San Francisco-based SoFi has used LinkedIn to advertise for a manager of mortgage operations, based in Sydney, along with an operations manager and a marketing manager. The pending opening in Sydney would be SoFi’s first office outside the US, where it has funded more than $US7 billion in student loan refinancing, personal loans and mortgages since it was founded in 2011. Over the past two years, SoFi, which used to be called Social Finance, has raised $1 billion in new […]
Top 5 Fintech and Banking Trends for 2017
FinTech Competition Will Drive Banking Transformation FinTech companies are competing with banks on a number of levels including peer-to-peer (P2P) payments, lending, saving, and investing. Banks should especially be worried about the fact that 33% of millennials don’t believe they’ll need a bank in the next 5 years, and almost 75% of millennials reported that they are more interested in financial offerings from Google and Amazon that from traditional nationwide banks. For banks to continue to compete, they’ll need to make sure they are providing better services and customer experiences than both their bank competitors, but also upstart FinTech companies. Continued Shift From In-Branch to Digital Channels Millennials are […]
FinTech: UK Vs Australia
by Matthew Parker, The MitchelLake Group Having recently moved from the UK to Australia, I have been excited to observe and experience first-hand some of the differences between the UK FinTech ecosystem and that of its Antipodean cousin. I do not, by any means, pretend to be an expert, but I have had the privilege of working with and alongside some of the most exciting FinTech businesses and individuals across multiple markets. Any observation I am able to draw comes from a place of passion and sincere enthusiasm as well as a helpful dose of experience. So without further ado, let’s compare and contrast. The UK hit its stride at […]
