What is Neo Banking

I guess most people will have seen this word this term online you know on social media on some webinars the word Neo banking if we break it down Neo is a Greek term okay which means new translated as new meaning it's new banking so what is new about this type of banking.

It's the whole 2008 Global financial crisis that's when things started to really change and I touched upon this in the previous session as well when we talked about alternative Finance and how 2008 the global financial crisis is really a shift in financial services that has really changed the landscape it made many smart people redundant it made banking more difficult and strict in more regulations came in, as a result, these redundant people who had you know years of experience and Tech firms growing the smartphone being created in what 2008 2009 the iPhone was introduced in 2007 so in that period in two-three years the smartphones were introduced all these jigsaw pieces came together and it allowed people than to say take advantage of the smartphone have a talent pool of people who've just been you know made redundant from all these big investment Banks

All these different individuals and elements which came together allowed for the growth of this sector was what we're talking about near banking where this idea of Challenger Banks has come right and Neo bank so what is a new abundant in essence a newer bank doesn't necessarily mean it's a new bank in any way shape or form in a sense as a complete alternative to a Traditional Bank when Neo Banks is this new set of banking services which are challenging traditional banking meaning they set up the service the platform the experience is it's a challenge to all alternative Banks although Neo banks in and of themselves might not be necessarily Banks all together they might not have the same license as a Traditional Bank.

If we were to summarize what a Neo Bank, it is a new experience of banking where a customer can benefit from banking services but it does not necessarily mean that the service provider is a full fully fledged Bank it can be just a gateway to a Traditional Bank it can be a platform which doesn't have a banking license but yet you can access a number of banking services through this portal through this platform.

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