Connect with us

Banking

‘BANK-IN-A-BOX’ LETS COMPANIES CREATE BRANDED DIGITAL WALLETS AND TAKE CONTROL OF THE PAYMENTS EXPERIENCE

Award-winning payments product white-labelled to help clients get to market faster and cheaper

 

Challenger payments company, MuchBetter, today announced the release of its ‘Bank-in-a-box’ fully managed solution. Bank-in-a-box enables organisations to launch branded production wallets quickly and easily, letting them take control of their users’ payments experience and get to market faster with a sophisticated, compliant and low-cost financial product.

The white-labelled payments service is designed to be ultra-secure while offering a frictionless experience for the end-user – letting them make online and offline payments with just their phone and fingerprint. This makes it an ideal solution for businesses that need to create payment functionality without the cost, expertise and other resources required to manage this in-house. It is aimed at verticals such as gaming, travel and retail, all of which are trying to cut time to market, keep costs low, and differentiate their services in a crowded market. MuchBetter helps these businesses achieve this differentiation via a seamless payment experience in-app, online and in-store (via MuchBetter-powered cards and payments wearables).

MuchBetter’s white label solution is iOS and Android compatible, is fully cloud hosted, highly scalable and offers a number of deposit and withdrawal methods including cryptocurrency. MuchBetter’s patent pending dynamic CVV technology also enables Bank-in-a-box clients to create unique theft/loss proof debit or credit cards. All MuchBetter cards have dynamic CVV codes which are generated within the app, not shown on the physical card, meaning cards cannot be used by anyone other than the account owner if they are lost, cloned or stolen.

“The launch of the MuchBetter wallet has been a tremendous success and it has attracted a lot of envious glances,” said MuchBetter co-founder, Prasannaa Muralidharan. “Over the last year, we have been approached by a number of companies including gaming firms and fintech startups who wanted to white label our solution and build various offerings on top of it. Bank-in-a-box offers precisely what the name suggests. It comes with out of the box back-end and front-end solutions, which can be branded to meet the needs of our clients and with full API support to develop completely custom applications using our infrastructure. We have re-architected our entire system to create a platform which can be used to launch several branded solutions with different issuers and processors to launch various bank and prepaid programmes.”

The Bank-in-a-box solution partners with a number of well-known and respected service providers including Wirecard, GPS and Digiseq. The solution also comes with a back-office and fraud management system.

 

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Banking

SEIZING THE OPEN BANKING OPPORTUNITY

Nick Maynard is a Lead Analyst at Juniper Research

 

Open Banking has made significant progress in 2020, having recently launched across much of Europe and now starting to emerge in other markets too. And there are two primary reasons why Open Banking is disrupting the banking industry so much:

  • Banks have begun to discover the real competitive advantage of a more open approach to banking. Offering a superior Open Banking experience to customers can be a compelling differentiator from other competitors as part of a wider digital app experience. Open Banking also creates a level playing field in markets where regulatory intervention has led to Open Banking deployment. As all banks are required to deploy APIs in this scenario, the situation is the same and does not put any one particular bank at a disadvantage.
  • Legislation – for example, in October 2015, the European Parliament adopted PSD2 (the revised Payment Services Directive). By early 2020, major banks in the EU had adopted Open APIs. There have however been many cases of late deployments of APIs and problems with the availability of APIs.

 

Nick Maynard

The Disruption Factor

Open Banking is a major disruptive factor for banks. The reason for this being that it opens up account data to both AISPs (Account Information Service Providers) and PISPs (Payment Initiation Service Providers), which can attempt to carve out a role in the banking area.

  • AISPs: These new vendors are able to access transaction data and balance information, as well as related information. This has, in particular, led to the rise of vendors such as Emma, Yolt and Connected Money. These vendors combine information from multiple sources, adding value to the user.
  • PISPs: In this case, the vendors are able to leverage Open Banking API connections to initiate payments directly from the bank accounts in question. This means that these players are able to bypass traditional payment methods, such as cards. Vendors such as American Express and PayPal have already launched solutions that have taken full advantage of this action.

 

PSD2 Changes

Generally, the implementation of the new PSD2 European regulation for electronic payment services effectively reduces the entry barriers for new digital players. It also opens up banks to the potential for competition, enabled by their own APIs. This allows these players to compete with existing services in fields currently offered by the banks. In the case of AISPs, it is possible that third-party applications could displace the role of the apps from incumbent players, which would dilute the bank’s relationship with their users.

As with any fundamental change to markets in the banking area, there is the potential to bring a number of both opportunities and challenges to consider with Open Banking.

Open Banking Opportunities & Challenges to Consider

Source: Juniper Research

Banks and other parties that are looking to become involved in the Open Banking ecosystem must weigh these opportunities and challenges carefully. Open Banking certainly needs a more collaborative approach than traditional banking models, which will require significant effort to make them successful.

 

The Forecast for Open Banking

The total number of Open Banking users is set to double between 2019 and 2021, reaching 40 million in 2021 from 18 million in 2019. The ongoing Coronavirus pandemic is increasing the need for consumers to have the clarity of combining their accounts and gaining insight on their financial health, and also boosting momentum in the adoption of Open Banking.

This extraordinary growth is being driven by Europe, where the regulator-led approach to Open Banking has created a standardised market, with low barriers to entry. This contrasts with markets like the US, where a lack of central regulatory intervention is limiting growth potential.

 

Open Banking – Delivering Opportunities and Threats

It is worth noting that Open Banking can be both a threat and an opportunity for traditional banks. While Open Banking exposes user information and access to potential competitors, this threat has the potential to affect all players in the market equally. Consequently, established banks must create innovative Open Banking services that will provide benefits for the user, while also attracting customers from less innovative competitors.

Payments will be critical to the emerging Open Banking ecosystem; accounting for over $9 billion in transaction value in 2024. However, payments in this ecosystem are at a particularly early stage. While eCommerce is dominated by card networks, there is the potential that this role will be eroded over time by ‘direct from account’ payments. Consequently, card networks should look to offer Open Banking-enabled payment services, in order to offset the risk of future disruption.

Open Banking Users in 2021 (m), Split by 8 Key Regions: 40 Million

Source: Juniper Research

 

Continue Reading

Banking

2021: THE NEW-NORMAL LIFECYCLE FOR BANKING

Laura Crozier, Global Director of Industry Solutions, Financial Services at Software AG

 

It would be impossible to talk about predictions for the banking industry in 2021 without mentioning the cataclysmic impact that 2020 and the pandemic has had on people, businesses and countries.

Unlike with the global financial crisis, banks have been able to step up as “good guys” this time around, rebuilding their reputations as well as accelerating digital transformation. One of the main outcomes is increasingly smart, efficient online payments.

In 2020, the banking industry innovated like never before. This is the new normal. Overall, customers and society will be the beneficiaries from the changing industry. Here are my predictions:

 

Reputations are reborn

Banks across the globe pulled out the stops to integrate and adapt systems and processes to help customers during the pandemic. They offered accommodations in loans, assisted governments with the distribution of financial relief, and supported consumers by upping contactless spending limits and virtual deposits.

In 2021, banks will risk losing that rosy glow as economic circumstances drive them to deal with non-performing loans, mortgage foreclosures, layoffs etc. But, beyond their role in society as providers of capital and liquidity, banks will invest to sustain their reputations as trusted and good corporate citizens and use their power to persuade their customers and providers to adopt higher environmental and ethical standards. This will be in the areas of bank carbon-neutrality, sustainable financing, serving the unbanked, diversity and gender equality (as the number of women running a major global bank will double from one (Jane Fraser at Citi) to two). It’s a start.

 

Coming of age in the way of working

Back in Q1, when bank employees cranked up their laptops on their dining room tables, banks that were strategically undertaking business transformation accelerated their efforts. Those that were tactical, or on the fence, now understand with painful clarity that this work must be undertaken strategically.

Cracks in process and the way of working and their resulting risks can be crippling. Especially from a back-office perspective, it is not enough to rely on “organisational memory” and collegial proximity for work to get done right. Advanced banks pushed the boundaries of remote work, and the proof of concept was successful. So, they’re doubling down on developing digital twins and moving to the cloud. They’re adopting the hybrid office/WFH approach to reduce health risks and reduce cost permanently. The watercooler will never be the same.

 

The death of cash

Ok, maybe the rumours of the death of cash are a bit exaggerated since there will always be the need for cash (and, to some extent checks; the USA, for example, cannot seem to live without them). But the pandemic has permanently changed the way that consumers and small businesses bank, and the demotion of cash has been accelerated by a decade by the pandemic. For example, the Norwegian central bank said that cash payments in that country have plummeted to just 4% of transactions since March.

Implications? It will be critical to continue evolving payments to be smart, safe and flexible to compete in new world, in both retail and commercial banking. Also, the permanent change in the mix of channels will see banks’ face-to-face engagement with customers fade. Branches aren’t going to go away entirely, but they will be reserved for high value activities – by appointment only. To compensate, the personal touch has to be delivered digitally and intelligently.

The role of the bank as a “financial wellness partner” is being born. Banks will use customers’ data, not just to personalise and differentiate banking experiences, but to make recommendations for products and services beyond traditional banking from across their ecosystem to serve their customers well. Just as customers own their cash (physical or digital), in the future they will demand that they own their data (and can share it with whom they choose). Then retail and commercial clients will share their data in return for value.

 

Continue Reading

Magazine

Trending

Top 102 mins ago

THE TOP 5 CRYPTO EXCHANGES IN THE WORLD YOU SHOULD KNOW ABOUT

Introduction Crypto Exchange is a very important part of the Cryptocurrency EcoSystem. Crypto exchanges are the platform where transactions take...

Finance2 days ago

FIVE TRENDS THAT WILL IMPACT THE FINANCIAL SERVICES INDUSTRY IN 2021

Ian Johnson, Managing Director Europe at Marqeta   Coronavirus has shaken things up across all industries, and financial services is no...

Wealth Management3 days ago

CHECKLISTS FOR CHOOSING A CORRECT TRADING MENTOR

The trading mentor should be proficient in the particular field and have proper cognition about the field. The duty of...

News3 days ago

FUNDS’ RUSH TO THE CLOUD MUST NOT BE A BOX TICKING EXERCISE

By Ed Gouldstone, Global Head of R&D for Asset Management at Linedata   The fund management industry has held up...

News3 days ago

MORE THAN HALF OF EUROPEAN SMES CONFIDENT IN 2021 BUSINESS RECOVERY

Finland most confident in Europe followed by France, UK and Germany – Spain, doesn’t show the same optimism Hope for...

Business3 days ago

BOUNCING BACK IN 2021: DIGITAL TRANSFORMATION IS NO LONGER A CHOICE AS DEPENDENCE ON 5G, IOT AND DATA INCREASES IN SOCIETY AND BUSINESS

Ivan Ericsson, Head of Quality Management, Expleo Group Limited   The global pandemic has put enormous strain on businesses and brought into...

Finance3 days ago

2021 IS THE YEAR FOR DIGITAL WORKFORCE MANAGEMENT IN FINANCIAL SERVICES

By Tyler Suss, Product Marketing Director at Kofax   Even before the pandemic, the UK financial services sector viewed digital...

Finance3 days ago

WHAT’S IN STORE FOR PAYROLL IN 2021?

Simon Parsons, Director of Payments, Benefits & Compliance Strategies, SD Worx UK   Payroll teams have recently faced up to the...

Technology3 days ago

DRIVING DIGITAL TRANSFORMATION IN 2020

by Andrew Foster, VP Consulting EMEA, AppZen   As organisations adapt to dramatic changes in working practices, the need for...

Finance3 days ago

PAYMENTS MODERNISATION – STRATEGIC PRIORITIES FOR FINANCIAL INSTITUTIONS IN 2021

Dudley White, SVP, General Manager, Financial & Risk Management Solutions, Fiserv   As the steady march toward payments modernisation continues,...

Business3 days ago

THE FUTURE OF SAVVY TECH PURCHASES IS KNOWING WHEN TO BUY

There’s no mistaking the impact technology has had in our lives. Once a novelty, technology has now infiltrated every aspect...

Wealth Management3 days ago

WHAT CAN WE LOOK FORWARD TO FOR EARLY-STAGE INVESTMENT IN THE COMING 12 MONTHS?

By Chantelle Arnaud, Envestors   What can business owners expect in the early-stage investment space in 2021? Having faced the...

Business3 days ago

PROPER ESTATE PLANNING IS ESSENTIAL AMIDST COVID-19 PANDEMIC

By Christel Botha, fiduciary services manager at Alexander Forbes   Paperwork and thinking about one’s death are both probably equally unpopular,...

News4 days ago

WHY BIOMETRIC CONTACTLESS CARDS WILL SOON BECOME THE NEW STANDARD

Payments should be time convenient and secure at the same. Biometric contactless cards not only meet these standards, but go...

Finance4 days ago

5 ACTIONABLE INSIGHTS FOR PRIVATE INVESTORS IN 2021

By Ben Hobson, Markets Editor, Stockopedia    COVID-19 has been a wake-up call for businesses and investors alike. Few could imagine...

Finance4 days ago

2021 PREDICTIONS: OPERATIONAL RESILIENCE TAKES CENTER STAGE

Brian Molk, Fusion Risk Management   Breaking down barriers between Risk and Business Continuity   What a year! Simply put,...

Business4 days ago

IS COMPLIANCE TO PSD2’S SCA A BRIDGE TOO FAR FOR B2B MERCHANTS?

Pat Bermingham, CEO, Adflex   According to the European Central Bank, 79% of all card fraud in 2018 occurred online from...

News5 days ago

FUJITSU’S CTO, FINANCIAL SERVICES – IAN BRADBURY – SHARES HIS TOP PREDICTIONS FOR THE FINANCIAL SERVICES INDUSTRY IN 2021

At the beginning of the year, financial institutes were excited by the prospect of a new decade. The advent of...

Business6 days ago

HOW TECHNOLOGY IS MAKING AIRLINES SMARTER DURING LOCKDOWN

Captain Nadhem is the General Manager of Alpha Aviation UAE   2020 has provided challenges to all industries, but few...

Business6 days ago

THE INEFFICIENT MARKETS THEORY

Fraser Thorne, CEO at Edison Group According to accepted financial thinking The Efficient Market Hypothesis (EMH) asserts that, at all...

Trending