FinTech Articles of the Week 10/30/16


This startup wants to mix the best things about credit and debit into a single card — and it has a 50,000-person waitlist

Zero CEO Bryce Galen wants to offer card users the spending control of a debit card and the perks of a credit card, according to Business Insider. Zero is technically a credit card with some small fees attached to its usage, but it strives to be an alternative to credit card-averse consumers.

Can FinTech prevent the next financial crisis?

The subprime lending crisis of 2008 happened at the expense of banking customers who weren’t entirely aware of banks’ improper mortgage lending practices, but Nikolai Kuznetsov argues in a piece for Fortune that the peer-to-peer lending model provides greater risk transparency to investors while passing the profits directly to lenders.

De-hyping APIs

Yes, APIs connect key players in the FinTech space; however, they don’t exactly provide value to the end user, writes KANTOX CEO Philippe Gelis in a LinkedIn Pulse post. “Beyond the features of every specific API, the mere creation of this new door for your business – although it will become more and more indispensable in today’s digital world – does not change what is behind it, i.e. the quality of the product, service or solution the firm is offering,” he says.

The OCC wants to provide FinTech answers — and that’s a big deal

According to American Banker, the Office of the Comptroller of the Currency is stepping up its efforts to encourage the development of innovative banking products and will initiate research and communication related to the FinTech sector.

America’s biggest banks are closing hundreds of branches

The change reflects a shift consumer behavior toward increased online and mobile banking. For life events such as investing, mortgage lending and college savings, more investment specialists have been added for the transactions that require face-to-face interaction, according to Business Insider. Bank of America alone has cut its branches from more than 6,000 to 4,629.