Banking Economy Featured Fintech

Challenger Banks From Around the World That Are Redefining Banking

mobile banking

Challenger banks are fully functional digital banks, the popularity of these banks is rising today because of the comfort they can offer users by offering every service online. They do not offer physical branch facilities and from depositing money to issuing cheques, etc. everything happens virtually. Challenger banks have disrupted the traditional banking world; they offer faster on boarding, incredible customer service, affordable fees and an immersive and unique experience to customers.

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The following are a few of the top challenger banks that made headlines in 2020

  1. Ally Bank

Ally Bank, a digital-only bank is known for its high-interest savings account. However, it is noteworthy that the bank starts charging $10 from the 6th outbound transfer, but this money is worth paying against the high interest rate of 1.6% compounded daily.

  1. Chime

One of the most popular challenger banks offering its proud digital banking services with no fees and no overdraft charges up to $100. Along with no overdraft charges, the other features the bank offers are facilities to get pay checks early, 1% annual percentage yield, 24*7 security and support from the team, the daily balance notifications and transaction alerts.

  1. Imagin Bank

Imagin Bank is the child start-up of the Caixa Bank in Spain. This bank is  the digital only bank for millennials and like the many other challenger banks in Europe, Imagin Bank does not charge any fee to open the account. It offers features suitable for a young population such as benefits on current accounts, personal loan offers, debit/credit cards and consumer loans.

  1. Liv by (Emirates NBD)

Launched in 2017, this is the digital lifestyle bank meant for Millennials. Right after its inception, the bank gained an estimated increase in 10,000 users a month. The bank app offers features like financial goal setting to help users with in app savings, real time expense tracker and the various tailored banking deals for the users. It is headquarter in Dubai, UAE.

  1. NU Bank

NU Bank is one of the most popular and the second most funded challenger bank in Latin America. NU Bank focuses more on offering banking services to the unbanked citizens of the country. Gradually, the bank gained popularity in the neighboring countries and soon it out beat the other popular banks like Revolut and Monzo.

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  1. Revolut

Revolut boasts of offering pristine digital banking services where users can manage their money in a better way. Within the Revolut app, the user can exchange money with zero hidden fees. Further, transactions on crypto and gold are conveniently possible. Till date, the bank has served over 12 million customers.

  1. N26

N26, the #1 mobile bank from Europe helps you open your digital bank account in a jiffy. From tracking the daily expenses, savings, and managing the account on the go, N26 is capable of offering all kinds of banking services through your smartphone. You can start your banking transactions as soon as you open the account from the application, there is no need to wait for the physical card to reach you.

  1. LightStream

LightStream, a division of SunTrust Bank, offers everything from financing your kids’ education to buying a yacht of your own. The challenger bank recently merged with the Branch Banking and Trust Company (BB&T) to become Truist to offer loans of every variety. The bank uses high profile technology so that the users with great credit score and ranking can avail loans at the most competitive prices.

These Challenger Banks have raised millions of dollars and they are not going to stop here. Challenger banks have already redefined the banking experience and it will be interesting to see what’s in store in 2021.

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