Fifth Third has announced a $112 million investment in a five year project that will upgrade its technology and help it to partner with fintech firms; enhancements involved with the upgrade include video conferencing with remote experts, Wi-Fi in branches, distance learning and real-time data feeds to fintech partners; following the investment the company will be driven more by its new web-services and APIs; it also plans to more openly partner with fintech companies for data sharing. Source
It is seemingly a daily ritual where we hear of the transformational potential of cryptocurrencies or the systemic risk they...
Bank service provider Misys is looking to bring an end to alternative lending by giving banks a solution that is similar to that of marketplace lenders; "There's clearly a demand for banks to take back that piece of the lending market," explained Misys Senior Product Officer Jean-Cedric Jollant in a discussion with PYMNTS; Misys believes this solution would give banks more lending options and they would no longer have to partner with an online lender; Jollant goes on to say that 90% of the online lending market will collapse and only the top names will survive a decade or two. Source
[Editor’s note: This is a guest post from Alex Cooper, Founder and CEO of Rezzcard. Alex is a fintech innovator and social impact...
The Office of the Comptroller of the Currency (OCC) has cited fintech as a risk for traditional banks in its "Semiannual Risk Perspective for Fall 2016"; the semiannual OCC report discusses risks for national banks and federal savings associations with data through June 30, 2016; says strategic planning is important for banking innovation and that banks who do not innovate to meet evolving needs may be at a competitive disadvantage. Source
After several years of tightening credit requirements for business loans over the last couple of years more banks have been...
A new report from Economist Intelligence Unit finds that banks are less fearful of fintech companies and that trends in the market are causing banks' interests to collide with fintechs for greater market partnerships and collaboration; the Economist Intelligence Unit report cites PSD2 as a leading factor for greater banking cooperation with fintechs; the report's Editor Renee Friedman says the research finds that "banks will increasingly have to adapt their culture and digital strategies to their customers' needs if they are to compete, not expect their customers to bend to theirs." Source
European finance chiefs believe that tech companies moving into financial services is a threat to financial stability; they also highlight the need for companies to be held to the same regulation as big banks; banks are especially concerned as open banking regulations are now in effect; article shares perspectives from BBVA, ING and Lloyds. Source
Both banks and online lenders are responding to the recent events with most already communicating with their customers detailing the...
The EU is investigating whether banks in several countries are preventing the sharing of information that the bank customers have granted; the raids were a preliminary step and the results of the investigation are not yet known; in 2018 banks will be required to give third parties access to account data provided the customers have given consent. Source