Open banking rules fuel financial planning shake-up
The financial planning industry is poised for a shake-up as the government’s plan to make it easier for customers to access banking data drives new technology that will allow advisers to respond in real-time to the changing financial circumstances of their clients. Open banking will also change the financial advice industry by allowing advisers to tailor their offering to individuals. Grow Super, part owned by IOOF, and Basiq, part owned by Westpac Banking Corp and National Australia Bank, have worked together to build the software that provides alerts to advisers about when to call their clients. The product will be white-labelled for advisory groups to enhance the quality of customer […]
Top-20 banks should be investing in disruptors, says Reinventure co-founder Simon Cant
As Reinventure announces its third $50 million fintech investment fund, co-founder and managing director Simon Cant says its important for big banks to invest in the very startups that are disrupting their industry. The latest fund brings the Westpac-backed VC firm’s total funds under management to $150 million, and follows two previous funds, which have invested in 20 startups. Cant tells StartupSmart that, under its independent venture capital structure, Reinventure is focused on ensuring “our interests are financially aligned with those of the entrepreneur”. Specifically, this third fund will be looking for startups that could be relevant to top-20 banks and their global operations. While Cant says Reinventure will still […]
Three disruptive forces driving Aussie neobanks like volt, as fintech startups get serious
There are hundreds of fintechs offering financial services, from budgeting tools to financial advice to loans, but it wasn’t until last week that a start-up was authorised in Australia to offer the product sitting at the heart of banking – deposits. In a significant milestone for the local fintech scene, the Australian Prudential Regulation Authority said last week volt bank would become the first recipient of a “restricted license” under its new regime, created after the federal government indicated it wants to see more competition in banking. In the UK, more than 30 “challenger” banks have been approved by its equivalent regulator since the licensing regime changed there in 2014. […]
ASIC, AUSTRAC and banks urged to engage with regtech start-ups amid controversy
A batch of start-ups will engage with banks and regulators about creating a “compliance-by-design” culture in financial services later this week at an inaugural RegTech Association event and are hoping conversation will soon turn to action. The expected release on Tuesday morning by the Australian Prudential Regulation Authority of a report into governance problems at Commonwealth Bank, and the interim profit results this week of the other major banks which are under pressure for failing to verify whether customers can repay loans, will illustrate the value of the nascent regtech sector. But while the big banks love to talk about innovation, they find it very difficult to achieve in practice. […]
Samsung Pay locks up the “big four” after new partnership with National Australia Bank
Samsung Pay has become the first mobile wallet provider to lock up the “big four” banks after today announcing a partnership with the last of the major institutions – the National Australian Bank. NAB customers now join those from Commonwealth Bank, Westpac and ANZ to use Samsung Pay to make payments with compatible Samsung smartphones, Samsung smartwatches and other wearables. Customers can load their Visa credit and/or debit card and pay securely anywhere credit cards are accepted. Apart from the big four banks, Samsung Pay works with more than 45 other financial institutions around Australia. Samsung has made good on its promise to provide its customers with a simple and […]
The data rush is on as start-ups get set for open banking
Paul Chapman believes banking is only going to get more complex. “We like to say Japan is living in the future,” he says. “People have a very fragmented life with three to four banks and several different financial products. There is so much complexity and we think that is happening in Australia.” The Australian co-founder of financial management app Moneytree, which is based in Japan and launched in Australia last year, is one of a number of start-ups jostling for position as the government looks to introduce open banking to Australia. Speaking to Fairfax Media on the sidelines of the Salesforce World Tour in Sydney this month, he said open […]
Bank-in-an-app startup Pelikin has launched a crowfunding equity raise
Pelikin, a banking alternative designed for digital natives, today launched a $400,000 equity raise on crowdfunding platform Birchal. The fintech startup is founded by 28-year-old Sam Brown, who wants to disrupt traditional retail banking with a more efficient way to manage money in Australia and while travelling abroad. Pelikin users will be able to control and spend in multiple currencies at once, all from the one app and with one debit card, as well as transfer money to other Pelikin users instantly and free. “We’re not ex bankers who’ve had an epiphany that the retail banking world needs to change; we’re frustrated, everyday banking customers who are dedicated to making […]
Digital bank startup Xinja can now offer housing loans, and getting one will take ‘about 20 minutes’
Digital bank startup Xinja is planning to offer home loans soon after winning an Australian Credit Licence from ASIC (Australian Securities and Investments Commission). It’s an important step forward for Xinja which is raising money under new equity crowdfunding legislation and aims to become a full-service digital bank built in Australia but without the legacy structures and costs associated with more traditional financial services companies. “This allows use to give mortgages, to lend and give credit,” Xinja chief executive Eric Wilson told Business Insider. “We are raising our very first mortgages in late March early April. By May-June we will bring our first fully digital product online. “We are bringing […]
