Neobanks face a widening gulf with incumbents on digital trust. These disruptors must prioritize ways to build up this key commodity amid unprecedently difficult market conditions.

US banks are facing a consumer crisis of faith amid market turmoil. The trust-building actions banks take now will determine how their customer relationships fare in the future.

Starling posts a $44.1M profit as Varo Bank lays off 10% of its staff and plans to restructure.

In 2022, US consumers will collectively open 13.1 million new bank accounts via digital channels, per our estimates. We stack up the mobile account opening experiences of the 10 largest US banks (by domestic asset size) and the four largest US neobanks (by users) based on our analysis of 35 emerging features.

Capital One was the most downloaded US banking app between January and April 2022, with 5.0 million net new installations. Digital-only contender Chime took the No. 2 spot, with 4.7 million, while Chase came in third, with 4.1 million net new installs.

Paper is still integral for the money flow: Two studies highlight the need for banking players—particularly neobanks—to continue supporting access to cash and paper checks.

Data from the FDIC, NCUA, and the Office of the Comptroller of the Currency (OCC) on outcomes of initiatives targeting the underserved would also have value for banks.

Payments Ecosystem: Diminishing analog payment use—as well as the battle for share between entrenched electronic payment methods and emerging challengers—will intensify the battle for customer spending this year.

Its fintech is out of stealth mode and is making acquisitions to build a neobank that will call itself as ONE. Its scaling potential makes it a threat to US banking players.

Neobank funding bonanza shows promise still outweighs profitability—for now: Globally, challengers brought in large funding hauls that signaled investors’ continued confidence in the space. But their patience in the face of commoditization and unprofitability won’t be endless.

The dominoes may already have fallen, based on the regulator’s conclusions about the controversial practice and the CFPB’s plans for “regulatory interventions.”

Monzo follows a slew of its global peers in winning a big funding round. Now these players must make smart spending decisions that demonstrate their maturity to investors.

It joins a string of banking players that have ended or deemphasized the charges—and has several options for replacing the revenue it forgoes.

This benchmark evaluates four US neobanks across seven categories and weights their scores according to the results from a survey of US mobile banking users. It highlights the most in-demand mobile banking features that an incumbent, fintech, or neobank can offer to attract, retain, or monetize users.

It’s not alone in the race. An influx of new BaaS entrants indicates the emergence of an industry to underpin embedded banking.

OCC pick favors sweeping changes like Fed takeover of accounts: Saule Omarova’s radical proposal has splintered Senate Democratic backing for Biden’s nominee—just as the very nature of banking is also being questioned by market forces.

The German neobank will pursue growth in established markets and make a push into Eastern Europe. This prioritization clarifies its strategy and is in line with other big challengers.