When I wrote The Death Of Cash Is At Least 190 Years Away in 2013, I'd modeled a continuous decline in cash usage by 1.95% a year. I never expected that cash usage would go up after 10 years. Hmmm.
08 Dec 2023 10:49 Read comment
This has already been happening with US regulators for decades. In my old (IT) company, all the ODCs we ran for banks and FIs used to undergo annual / biannual audits by OCC and other BFS industry regulators.
08 Dec 2023 10:36 Read comment
TY. Using the same structured comment twice should work. Sure, two different dates for the two payments is a feature, not bug, in this situation.
08 Dec 2023 10:17 Read comment
When two companies A and B merge, as part of Post Merger Integration, some systems of A are retired in favor of B's systems and some systems of B are retired in favor of A's systems. The retained systems anyway have been tried and tested for years before M&A.
"So why do we need code translators, code transpilers and code audit tools?" is the common objection we've across while targeting these tools at banks and FIs.
07 Dec 2023 11:43 Read comment
Back of the envelope calculation shows APP Scam loss to be in the 0.015-0.02% (i.e. 1.5 to 2 bps) range of Total Payment Value (TPV) of A2A RTP e.g. India $393.7M/$2T (UPI only) = 0.0196%. Seems like a trivial problem that's getting overblown only because of the vote bank of victims and Drunk Under Lamp Post tendency of regulations.
06 Dec 2023 11:15 Read comment
IIRC Klarna got banking license. Any idea why it's not using its own acquiring business?
06 Dec 2023 11:01 Read comment
Very sad. Credit is extremely underserved in India. However, recovery laws are extremely pro-Borrower. In China etc., lending fintechs brick phones, leak naked selfies and use other technology-powered features to improve recovery rates and stay in business. However, such things are taboo in India. So, it's back to good old feet on street and telephone follow up for recovery. Traditional banks know those measures have limited effectiveness, which is why they have stayed away from lending to the vast majority of citizens. If fintechs have to follow the same approach, how can they succeed?
06 Dec 2023 10:47 Read comment
Credit Card offers rewards, deferred payments, and other benefits that Open Banking / Pay By Bank MOPs don't. On top of that, due to recent innovations like Visa Direct, credit card payments are more frictionless than OB / PBB. While merchants will prefer OB / PBB due to lower MDR costs, why would consumer switch to them from credit card?
As I highlighted in Open Banking: EU v. USA, PayM, PingIt and the other previous generation of A2A RTPs failed because they failed to answer the "What's in it for the customer?" question. So far, the new generation of such MOPs have failed to provide a satisfactory answer to that question. Unless they do so, they're bound to meet the same fate.
05 Dec 2023 10:04 Read comment
I must admit that an old-school banker taking over and rescuing a new-age neobank was not on my bingo card!
05 Dec 2023 09:46 Read comment
TY for the clarification.
Would your answer be any different if I clarified that customer didn't make an incorrect payment?
I meant that they consciously paid 80 out of 100 due to short payment, part payment, and other legit reasons covered by the payment schedule. For example, in computer hardware industry, the moment I ship the server, I am eligigible to raise the invoice for the full 100 but customer may pay 80% on delivery and 20% upon installation, which can take days or weeks after delivery.
05 Dec 2023 08:44 Read comment
Ben GoldinFounder and CEO at Plumery
Tamas KadarFounder and CEO at SEON
Nikolay ZvezdinFounder and CEO at as.exchange
Suruchi GuptaFounder and CEO at GIANT Protocol
Walid HosniFounder and CEO at GXEGY
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