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I went to Chime from Simple, another app bank that eventually got triple-merged into one of the least mobile friendly banks out there. I still have like .12$ in
by willio58 4y ago
I went to Chime from Simple, another app bank that eventually got triple-merged into one of the least mobile friendly banks out there. I still have like .12$ in some obscure bank. Recently I moved to use a simple top-5 bank account and it's fine as long as you know you'll never have overdrafts/you have a certain amount direct deposited monthly.
Really sad that banks like this can't figure it out, and when they do (Simple), they get bought out by legacy banks and fall into oblivion.
- toomuchtodo 4y agoYou must be able to lend to sustain yourself; interchange rev is insufficient (especially with FedNow instant payments almost GA), and even becoming a lender is hard. You need to partner with a bank partner who has a charter, you have to be able to securitize the debt, etc. Banks have a serious moat. Go where the margin is, and that isn’t deposit accounts. Like airlines, they’re a utility masquerading as a business.
- WeylandYutani 4y agoDigital banks are finding that you literally CANNOT make money with a simple checking account. Banks make money with mortgages, loans, credit cards and other financial services. Hell banks would rather dump most of their customers if they were allowed to.
- willio58 4y agoIs this true? With Simple I believe they were profitable, they just decided to sell to BBVA to grow larger (and to let the founders get a huge pay day). Then BBVA sold to PNC, then PNC absorbed all its users.