Start af en bank
EssaysJeg får ofte spurgt noget langs den linje, "Hvis du ikke var førende Automattic, hvad ville du arbejde på?" Der er ikke et enkelt svar på dette spørgsmål, svaret ændrer sig dag til dag. Men jeg tror, at hvis du spurgte mig i dag, ville jeg sige, at jeg vil gerne starte en bank.
Der er meget få mennesker, der virkelig elsker deres bank. Vi har alle behandlet med overdosering gebyrer, som stak op, hjerne-døde med småt, og en generel utilpashed. Der er også en unik mulighed i, at almindelige foragt for de finansielle institutioner har aldrig været højere, men samtidig er der en utrolig mængde af regeringens opbakning, at stort set gør det til en no-risiko miljø. Folk er sultne bare for noget andet, noget kontrære. En David til Goliat banksektoren.
Navnet på min bank ville være noget ekstremt kedeligt, ligesom SafeBank. Ideen bag det er, at dårlig opførsel i bankverdenen har været stort set uundgåelig, fordi deres erstatning strukturer incented folk til at gøre alt for risikable ting. SafeBank ville fastholde en reserve niveau 2-3x højere end Fed krav og enhver anden bank. SafeBank ville ikke have nogen bonus. Kritikere vil sige, det ville gøre det umuligt at tiltrække top-hylde talent. Hver gang banken angribes vi ville gøre det til en reklame lejligheden til at understrege, hvorfor vi er forskellige. "Vi kan ikke tiltrække top-hylde talent? Vi tager dine penge og læg dem i en hvælving. Vi har ikke brug for den million-dollar bonus genier på Wall Street til at gøre det. SafeBank. Bank, sikker. "
Faktisk ville de første par år af SafeBank i vid udstrækning være fokuseret på erhvervelse gennem alle trick i bogen. I begyndelsen trække en Gmail / WordPress.com og gøre det invitere-only, hvilket vil skabe en sladder, og giver dig også mulighed for at give fantastiske hvide handske service til de første kunder, som til gengæld vil fortælle deres venner og gøre et ton mere buzz. (Du kan også målrette visse rentable segmenter og ultra-sikker indskydere i første omgang, ligesom Gmail-brugere i San Francisco (ved hjælp af Firefox med en ad-blocker), der gør seks tal for et år.) Der ville kun være én stil, checks og hævekort og de havde brug for et karakteristisk design, så hvis du så, du ville sige, "Hvad er det?", som så ville begynde at hele samtalen igen om, hvordan SafeBank er anderledes.
For de første to år, du kan også gøre ting som ikke tillader konti større end FDIC-forsikrede grænse. Ingen har nogensinde hørt om en bank vender sig bort penge! Men du ville sige, at selvom alt SafeBank ikke er uden risiko, er det stadig en start, og hvis folk har mere end den forsikrede grænsen (250k for enlige, 500K for par) på en konto, bør de sætte ekstra et andet sted. Igen, vil dette påvirke en meget lav procentdel af kunder, men alle vil synes det er bemærkelsesværdigt. Dette kan udfases efter et par år, i virkeligheden, ville det være en PR-mulighed. "Vi har været i branchen nu, længe nok til, at vi føler os godt tilpas med større regnskab." Boom, gratis dækning.
Jeg er tech fyr så selvfølgelig en masse fokus ville være på hjemmesiden. Forestil dig en gammel tid vintage design æstetik kombineret med en Google-lignende enkelhed og fokus på hastighed. Alle logins ville være to-faktor, med standard idet det ville SMS dig en engangs-kode til at logge ind, når du har givet din e-mail-adresse. En stor del af hjemmesiden vil være den blog, selvfølgelig. Det ville have en stærk Ben Franklin-lignende sund fornuft stemme, og derudover at give et par kølige gemme eller hjemme tips hver uge, ville det dække mindst én finansielle industri historie om dagen.
- "Bank of America brugt 40000000 $ dollars på fly sidste år. Vi brugte $ 40.000 til at udvikle en iPhone-applikation, så du kan tjekke din saldo fra hvor som helst. "(Hmm, iPhone app skulle koste som $ 2.99.)
- "Her er hvordan at blokere reklamer, når du surfer på internettet med Firefox, det gør internettet hurtigere og mindre irriterende."
- "Goldman Sachs blot udbetalt 16 milliarder dollars i bonusser til deres medarbejdere. Hvis vi havde en ekstra 16 milliarder dollars ligger rundt omkring, ville vi sætte det i banken til en regnvejrsdag. (Hvis Goldman aldrig havde udbetalt bonusser, de aldrig ville have haft behov for statslig intervention.) "
- "Så-og-så bankens hjemmeside kræver, at du bruger Internet Explorer. Vi beder, at du ikke gør det, fordi der er langt køligere og hurtigere browsere. Her er 3 open source-browsere kan du skifte til dag. "
- "68 millioner grunde Din Bank Sucks. Det er det beløb Boa indsamlede sidste kvartal i unødvendige ATM gebyrer. "
(Det er alt gjort op.) Overskrifterne vil næsten skriver sig selv, og hver gang en finansiel institution er i nyhederne, det ville være en mulighed for at kontrasten hvorfor SafeBank er anderledes, og hvad den underliggende filosofi er bag hvorfor det er anderledes.
Alle markedsføringen ville være på nettet og virale, fordi det ville være en online-only bank som ING Direct. Ingen butiksfacader, hvor folk er nødt til at stå i kø eller risikere en dårlig interaktion med en Teller, eller at få røvet og har brug for forsikring, dybest set en masse af de historiske risikoen ved at drive en bank kunne elimineres. Når du tilmelder dig det ville have en "fortæl dine venner om SafeBank" adressebog funktion, der vil forbinde dig til dem, hvis de har tilmeldt for en konto, giver dig både penge (Bank of America har noget som dette), og også gøre det nemt at sende dem penge, PayPal-stil, hvis de har en konto.
Hvordan vil banken tjene penge? Jeg tror, det ville ikke røre ved noget risikabelt på den finansielle side - det ville være en data-virksomhed. De første 3 år er fokus ville være helt på kundens erhvervelse, markedsføring, PR, og opbygge et verdensklasse tech teambuilding en rock solid infrastruktur. SafeBank ville gøre måde, hvordan færre penge end banker i øjeblikket gør, men det ville være mere end nok til at bygge et fantastisk produkt på en bæredygtig måde, som Craigslist gjorde med avisen Classifieds. Efter en vis milepæl, sige 100 milliarder i indskud, ville jeg købe eller klon Mint . SafeBank ville have mere (og mere præcise) data om sine kunder end næsten nogen anden virksomhed i verden, bortset fra kreditkortselskaber, ville så online interface har Mint-lignende leadgenerering tilbud baseret på disse oplysninger. For eksempel bruger du 140 dollar om måneden på el, men hvis du skifter til denne nye sol-udbyder, du vil spare $ 200 om året. Tænk på det som Gmail indholdsbestemt annoncering, men baseret på, hvor du bruger dine penge i stedet for ord i en mail. Der også kunne være samlede data muligheder for økonomisk forskning eller målretning, men jeg er ikke sikker på, om jeg kan lide privatlivets fred der.
SafeBank kunne ikke hæve VC eller sådan noget, fordi at have nogen form for exit forventninger fuldstændig ville dræbe sikkerhed historien, men jeg synes det kunne være bootstrapped og efter et par år ville være enormt indbringende. Dens eksistens vil også lægge et enormt pres på de eksisterende banker, fordi indskydere ville forlade i hobetal, lægge pres på deres reservekrav. Eksisterende banker ikke kunne konkurrere på en traditionel måde, fordi de har så en beskidt historie om kundernes apati og dårlig PR. SafeBank ville ikke være at forsøge at fange deres overskud, ville det stort set være at ødelægge dem og gøre meget mindre mængder af penge i ikke-traditionelle bank måder. Det ville være lidt ligesom en kredit union, men for masserne.
Anyway, det er bare hvordan mit sind vandrede her til morgen mens du børster mine tænder. I morgen vil jeg tror det sidste branchen jeg hver ønsker at være i, er bankvirksomhed. 
Ville du har tillid til dine penge til SafeBank?
Tilmeld mig!
Da jeg boede i USA, det så ud som enhver stat havde sin egen bank love, men jeg forestiller mig en masse af de udfordringer, er bare hvor kompleks disse bankers systemer er. Regler er ofte en meget enklere, når du holde det enkelt.
Jeg havde også den smertefulde oplevelse af den indiske støtte ikke at vide, at der ikke var Chase afdelinger i San Francisco (eller endda California tror jeg). Så USA baseret support please!
Når SafeBank har erobret sit eget marked, vil det være spændende for, at det den 1. bank, der gør det nemt at flytte penge mellem USA og Canada.
Matt, dine indlæg er interessante, men kunne du være venlig at incresing skrifttype-størrelse og fjerne den diagonale striber fra baggrunden. Det alene ville gøre de stillinger waaay lettere at læse. Jeg er lige kommet til det tredje punkt, var nødt til at holde op, fik hovedpine. Thanks.
Det nye design er meget cool, men jeg er enig med Luis skrifttypen baggrunden combo bare ikke fungere.
Ellers banken ideen er fantastisk.
FireFox Ctrl +
Oh Matt!
Nice-indlæg, - jeg følte halv varm halv trist, når jeg læser det. Du er en meget kreativ fyr og har gode ideer. Marc Andreesen også sagde for nylig, at han ville være interesseret i en bank ... .. masser af meget smart iværksættere og visionære er. Problemet er, du kan ikke. Du kan ikke, jeg kan ikke, stort set de eneste, der kan er dem, der allerede ejer banker.
Samme gælder for forsikring .... Prøv at starte et forsikringsselskab (ikke et agentur, et virkeligt forsikringsselskab).
I dit indlæg, du nævnte flere ting, der i øjeblikket en regulerende problem - selv at have en virksomhed blog er et problem - for investeringsselskaber alt materiale, der kommunikerer med det offentlige skal være godkendt af en overholdelse af team-banker er ens. Du kan ikke benægte, indlån og har alle former for regler om, hvor mange lån, du skal give, penge, du skal tage, osv. osv. Du kan ikke selv købe (endsige start) en bank uden at have alle typer af godkendelser, der - som de vil ikke give dig fordi du ikke har en mindst tre år i bank osv osv.
Desværre har vi meget lidt konkurrence på grund af dette. Men det vil tage en visionær til at bryde igennem - på internettet vil helt sikkert hjælpe - men det eneste, der virkelig vil hjælpe nye konkurrence, er at have mindre regulering. De fleste mennesker tror, deregulering er et grimt ord, og årsagen til den nuværende rod, det modsatte er tilfældet-slippe af med de gældende regler, så en mat eller Marc kunne komme ind i rummet.
Så ville folk skulle vælge igen mellem meget sikkert - men ekstremt lavt afkast, og meget usikre, men højt afkast.
Hele årsagen til bankkrisen var sikre investeringer ikke bliver brugt på alle, alle penge går til de meget usikre, hvilket forårsagede en kaskade fiasko. Et usikre investering faldt igennem, hvilket en anden at falde igennem (fordi det første firma gik konkurs).
Med andre ord ville Matt bank har gjort 0 forskel.
Problemet var ikke sikre investeringer bliver indisponible, FED tilbyder investeringer, som er lige så sikkert som USA selv. Folk ikke købe dem.
Selvfølgelig vil du ikke få hvor som helst med dette argument, da det betyder, at almindelige mennesker var ansvarlige for sammenbruddet. Grådighed af Joe, Dick og Harry. Grådighed af mr. Joe Average, af dig og mig.
Og politikerne simpelthen ikke bebrejde almindelige amerikanere. De fleste bestemt ikke bebrejde dem for en synd, men alderen begrebet måske (eller måske ikke) være.
, Der bare køber en politiker en enkeltbillet til ubemærkethed. Snarere, du trækker en Obama: "Vi vil dræbe disse onde rige jødiske bank-direktører én efter én!". Og alle er glade.
Det er, hvad demagoger gøre, trods alt. Man ville gerne tro, den katastrofe, som var Anden Verdenskrig ville vaccinere folk mod den slags. Man ville gerne.
* Suk *
@ Tomc
Høj risiko investeringer blev valgt frem for en lav risiko investeringer af to grunde:
1) den amerikanske pengepolitik og diverse forordninger, overskydende kapital. FED kan tilbyde sikre investeringer, men de tilskynde mal-investeringer og bidrage til at skabe bobler.
2) Der var en (naturligvis korrekt) forventning om, at "too big to fail" institutioner ville få reddet ud i en krise, at skabe en moral hazard.
Jeg kender ikke nogen gennemsnit folk, der valgte at investere i højrisikoområder. Jeg kender mange, der fandt ud af realkreditlån kunne de ikke råd til, fordi bankerne tilbød det til dem. Bankerne tilbød den til dem på grund af let kredit fra FED og den implicitte garanti for institutioner som Freddie og Fannie.
I virkeligt frit marked, den ene med langt mindre regulering og ingen forvrængning af en centralbank ville der være mere interesse i lavere risiko investeringer. Når den høje risiko investeringer mislykkedes, ville ingen være der for at redde dem ud.
hi,
Ikke ønsker at regne på dine lange tænder børstning brainstorming her er et par af de fejl eller misforståelser, som jeg se fra kort læser du ideen, mens man spiser min toast -
- Du siger, at der i øjeblikket er nogen risiko miljø i banksektoren. Ikke alene er dette en paradoksal udtalelse i form af bank, men desværre din bank ikke ville kvalificere sig til TARP-ordningen, hvilket også de 89 andre små banker, der er gået konkurs i USA har fundet ud af.
- '"Vi kan ikke tiltrække top-hylde talent? Vi tager dine penge, og læg dem i en hvælving. ' Selvom du senere gå videre til modsige denne falske reklame påstand ved at diskutere, hvordan du gerne tjene penge, det er egentlig ikke meget af en bank, eller endog en virksomhed på alle, hvis man bare tage de penge, du får, og holde det i en hvælving. Husk du skal betale hver af dine kunders interesse og fraktioneret banksystemet kun virker, hvis man tager deres penge og gøre mere interesse med det, end du betaler ud. Hvilket betyder, at du tager på risikoen for at holde deres penge (se denne risiko ord igen).
- Som en anden plakat, har sagt, du kan ikke bare begynde at banker og tanken om at nogen er i stand til, er en temmelig skræmmende én. Men, men, jeg hører dig græde, se, hvordan bankerne har skabt den aktuelle krise. Hvis det er tilfældet, vil jeg foreslå du læser op på Greenspan Put, Fed Politik til ikke at stikke bobler, Modellen portefølje teori, effektivt marked teorien, kapitel 11 konkursret, yen carry trade, mærket på modellen / marked regnskab ændringer blandt andre ting, før skyde skylden på bankerne for krisen. Bankerne gjorde ignorere og i sidste ende undervurdere risikoen for længe, men de havde ikke andet valg givet den slappe regulering og statslige økonomiske miljø, som er udviklet gennem slutningen af 1980'erne og frem gennem de politikker af BoJ og Federal Reserve.
- "Hvordan vil banken tjene penge?" - Man skulle låne den til andre mennesker på et højere tempo end du betaler ud. Det er, hvad bankerne gør, og det skaber risiko.
- "Jeg tror, det ville ikke røre ved noget risikabelt på den finansielle side - det ville være en data-virksomhed."
Hvis det er tilfældet, er det ikke en bank, det er en investeringsfond, og du wouldnt være i stand til at registrere sig som bank og enojy nogen af de sikringsordninger og / eller FDIC garantier.
- "De første 3 år er fokus ville være helt på kundens erhvervelse, markedsføring, PR, og opbygge et verdensklasse tech teambuilding en rock solid infrastruktur. "
Ok lad os antage, at du tager til en mio pounds fra investorer og give dem rente på 3% om året. I tre år du vil have udbetalt omkring £ 100k i rente, og også jeg går ud fra du vil betale din store PR og reklame hold nogle gode lønninger. Men du plejer faktisk har gjort nogen indtægter. Nu er dette lyder måske fint i ø verden af web 2.0 som mange virksomheder opbygge en brugerbase, før du foretager nogen penge (og i de fleste tilfælde aldrig gøre nogen penge). Men bankerne ikke arbejde sådan. I slutningen af 2008, da et par pengemarkedet tabte penge på Lehman Brothers konkurs, og meddelte, at de wouldnt være i stand til at betale tilbage alle deres investorers penge (og jeg taler om at sige de kunne kun betaler 98 cent for hver dollar investeret , hvilket måske ikke lyder som meget), panik opstod og industrien mistede 7% af sin formue i 48 timer, og disse investorer indfrielser forårsaget forskellige fonde til at gå under. Så siger du vil have tre år for at tabe penge og spise i dit indskud, når du opbygge en brugerbase måske ikke gå ned alt for godt med din indskydere.
- "Efter et par år ville være enormt rentable"
Hvordan præcist ville det være rentabelt? Endnu en gang, ville du nødt til at være at gøre flere penge end din at betale tilbage, og dette ville kræve, at du investere de penge og finansielle ekspertise.
Ok nitpicking over. Når det er sagt, at jeg klappe nogle af dine ideer til at gøre bankerne og deres bonus strukturer mere transparant. Problemet er, bankverden er smerteligt kompleks og per definition tanken om en bank er antagelsen om risiko. Og som vi har fundet ud af i de sidste par år, det er noget, enhver kan få grueligt galt.
Pointen om renter er vildledende. De fleste retail bankerne tjener deres penge fra afgifter, f.eks kassekreditter mv, ikke fra at låne penge fra foliokonti. Personligt ville jeg være meget glad for at bruge en bank (eller hvad man kunne kalde det) der opkræves et beskedent gebyr for styring af mine penge i stedet for at bruge det til at finansiere indsatser, hvilket er, hvad investeringsbanker gør. Hvis Safebank brugte min finansielle data som Google, vil de være i stand til at forudsige likviditetsvanskeligheder, at regningen betalinger til tiden og generelt gøre, hvad en god business manager ville gøre, kun for et par dollars / euro / pounds per måned. Lad os gøre det!
Prøv en Frost Momentum-konto, det er gratis og Flash-interface er godt. Du kan mærke dine indkøb som Mønt, du opretter kategorier. Også det er et papirløst konto, og du behøver ikke at besøge en gren, hvis du ikke ønsker at-ideen er at spare penge, som du siger. Også Frost har en lang historie, ikke at du ikke Matt
De er i færd med at annoncere nogle SMS-tjenester. Jeg håber Frost fortsætter med at innovere, fordi jeg tror du har ret, bankerne nu nødt til at fokusere på teknologi.
http://frostmomentum.com/
PS: Jeg skiftede til Frost fordi WAMU gik under.
Jeg elsker det. Hvor er min invitere?
Jeg tror ikke, at du kan have en invitation eneste bank og stadig modtage Federal Insurance, jeg tror, at du skal være lige muligheder bank for at få FDIC opbakning.
Når det er sagt, er jeg * virkelig * som disse ideer, tilmelde så mig op! Jeg tror, at jeg ville have en opt out-muligheden på reklamemarkedet. Jeg vil også gerne en BlackBerry app udviklet sig så hurtigt som iPhone app
Du vil også skulle tage den tid, det ville tage at generere og sende SMS-adgangskoder. Oh! Glem ikke at have bannere til rådighed for folk til at placere på deres hjemmesider!
Det ville være åben for alle, lige i starten vil det være begrænset til noget i retning af 1.000 nye konti om dagen, så du tilmelde dig på en liste for at få besked, når der var en plads og reserveret til dig.
Det lyder som en fantastisk løsning, Matt! kan jeg have kontonummer 000000021? Jeg ville aldrig glemme mit kontonummer så!
Faktisk er det helt i orden at være en invitation-only bank. Det er alle private banker er.
Diskrimination love kun komme ind påvirke, når man beskæftiger sig med udlån (pant i fast ejendom, lån osv.)
ps. Jeg vil gerne konto # 007 please.
Du kan altid gøre det en kredit union i stedet for en bank - de udtrykkeligt * skal * have medlemskab begrænsninger.
Jeg tror denne tråd er begyndt at ramme på måske den største ulempe ved denne forretning: der beskæftiger sig med regering! Noget de fleste iværksættere undgå, da det så er begrænsende og tager alt det sjove ud af det.
Men seriøst, genial idé Matt! ING Direct forsøger at gøre noget af dette, men ikke alle. Meget nyskabende.
Paradigm skiftende ideer altid lyde vanvittigt i starten, noget du sikkert kender bedre end I. Hvorfor ikke? Se på, hvad WordPress gjorde mod den måde, vi alle oplever og tænker om den web og kommunikation generelt. Hvorfor ikke bankvirksomhed. Jeg vil flytte mine penge fra ING til SafeBank! Hvis Arrington kan bygge CrunchPad, hvorfor kan du ikke starte en bank? Ja ok, er at strække det lidt ...
Hvis en sådan bank eksisterede, ville jeg helt sikkert melde sig!
Så for alvorlige, kan lide, kan du faktisk gøre dette?
Venligst?
Jeg tror, at skønheden i nettet er, at alle kan gøre dette.
Selv hvis der er "Indian" hjælpepersonale i @ svar til Lloyd Budd ovenfor.
At alle løb gennem dit sind bare mens du børster tænder?
Jeg er bare tænkte på, hvor glad jeg er for at "have" alle mine tænder, når jeg børster. Nu spekulerer du så vellykket.
LOL! Jeg måtte bare kommentere din kommentar. Jeg var virkelig griner højt. Jeg også tænke over, hvordan rengør jeg får mine tænder, mens jeg børster. Jeg får de fleste af mine ideer i stedet, når jeg bad. Og selv mens jeg bad og tænker på samme tid, jeg nogle gange glemmer at tilføje balsam til mit hår!
Ja, jeg vil også gerne likre at åbne en konto hos MattBank ... øh, BankPress ... øh, SafeBank.
Heck - Jeg ville være interesseret i at arbejde for en virksomhed som denne. Jeg er 99,9999% af min bank online, selvom web interface blæser. Jeg ved, at vi kan gøre bedre.
Forskellige er ikke altid vanvittigt. Disse er gode ideer.
Det eneste problem er, at din "ingen risiko", regeringsstøttede branchen aldrig vil gøre en ærlig skilling. Der kan ikke være profit uden risiko.
Risikoen er i ikke-banking ting, nemlig data-og bly-gen forretningsmæssige side af tingene. De kan være meget ærlig dimes.
Jeg kan godt lide konceptet, men jeg ved ikke, om du virkelig kan adskille en eventuel risiko (bank-eller non-banking) fra virksomheden og fra kunderne.
Jeg er enig med Matt på denne ene. Bare fordi han vil være at investere sin kapital anderledes end de fleste banker, betyder ikke, at han har til at pådrage sig store risici.
Tilmeld mig op, når du får det startede Matt.
De manglende historie i det forgangne år var alle de små lokale banker, der udføres helt fint under 'bankkrisen'. Disse banker og kreditforeninger var konservative med deres penge og derfor havde meget få problemer, mens du stadig tjene penge.
Jeg bruger USAA (. Com) og jeg elsker virkelig det ... De er ikke langt fra din invitation system, at de kun tilbyder medlemskab til militært personel og deres familier (dengang visse familiemedlemmer af eksisterende medlemmer, det er sådan jeg fik det , jeg giftede sig med en medlem af).
Deres service er den mest fremragende service jeg nogensinde har fået overalt. For rigtige sammenligner ingenting. Deres hjemmeside er smuk darn god. Jeg gør alt online, også deponere kontrol med min scanner. Jeg kan bruge mit Hævekort til enhver ATM, og de vil refundere eventuelle gebyrer fra den anden bank (de har ikke mange af deres egne pengeautomater).
Anyway, bør du stjæler nogle ideer fra dem
Jeg bruger USAA også, og de er tættest på bemærkelsesværdige, jeg har oplevet.
Det er præcis det svar, jeg ville gøre! Har været kunde i over ti år, og de har altid været andet end fantastisk.
USAA har en rigtig hyggelig iPhone applikation også. Du kan kontrollere saldi, de har en ulykke samling form (hvis du bruger deres Bilforsikring), og med den nyeste version, kan du indbetale checks ved at tage billeder af dem med telefonen.
Jeg bruger USAA for bilforsikring, lejerens forsikring og Credit, og jeg er enig med disse følelser. Jeg havde ingen idé om det kontrollere deponering, og jeg bliver nødt til at se på disse tjenester, fordi jeg absolut elsker og stoler på virksomheden.
Dine ideer lyde godt, Matt. Jeg håber, at vi ser mere innovation i banksektoren.
Enig med resten på USAA. Ingen ATM gebyrer. Depositum en check med et gratis program på min iPhone fra hvor som helst og har midlerne til rådighed med det samme. Kundeservice, som wows alle chancer bliver det. De kan bare ikke slå ...
Jeg vil tilmelde dig i et hjerteslag
Matt:
Mange af de plusser og high-sider, du nævner er allerede på plads - i kreditforeninger. Se for eksempel, er USAA nyligt frigivet iPhone app.
Credit fagforeninger er der, hvor det er på, for at omskrive en rappe hipster.
Yep det er derfor, jeg nævnte kreditforeninger, ville denne idé at tage disse fordele for alle.
Jeg har lige haft en "samtale" med min Credit Union her til morgen om et overtræk gebyr.
Den respons (r) fra den kredit union var:
- Vores gebyrer er stadig mindre end hvad andre banker gebyr.
- Vi er nødt til at tjene penge for ...
Nå i det mindste for mig, synes at tjene penge ud af nogens fejl noget uærligt / uetisk.
Se historien nedenfor,
http://www.usatoday.com/money/perfi/credit/2009-08-03-overdraft-fees-credit-unions_N.htm
Jeg er om bord Matt ... Lad mig vide, hvis du har brug for hjælp. Også, når jeg får en invitation?
Du kan ikke være alvorligt. Du tror opkræve en straf for et overtræk er uærligt / uetisk?
Nej. Dette gebyr er ikke uærlig eller uetisk, men det hele er så nemt at lave en fejl ...
Bankerne har selv rigget systemet imod dig nogle gange. Hvis du går ind i mange banker og indbetaling $ 500 (du har fået en eksisterende balance på $ 10) og derefter skrive en $ 200 kontrollere ... at kontrollere kunne overtræk, simpelthen fordi banken ikke har gjort det "tilgængelig" endnu.
Seriøst .. du lige har deponeret dine penge, men banken vil ikke lade dig bruge det!!
Nogle banker er køligere (US Bank for eksempel), og vil lade dig gøre et indskud et minut før sidst på dagen til at bringe din konto positive. Så længe din konto er positiv i slutningen af dagen, vil de give afkald på de gebyrer.
Andre banker vil løbe kontrol og kram at gå ud af din konto først, og derefter gøre indskud går i ... Det betyder, at du kunne have deponeret pengene til at dække den kontrol, men da de tog pengene ud, før du sætter din indbetaling IN, du fik overtræk.
En anden måde, de skrue dig er ved at opkræve dette gebyr øjeblikkeligt. Jeg har haft tilfælde, hvor en (forkert) overtræk gebyr forårsaget andre kontroller til at hoppe. Når du til sidst overbevise banken om, at denne afgift var ugyldig, og de endelig kredit dig tilbage overtrækket gebyret ... forsøge at rense op, at rod.
Forsinke, at overtræk afgift i at komme ud af din konto, selv af en uge, vil kunne spare forbrugerne milliarder af dollars. Hvilken anden virksomhed i verden slipper af sted med at opkræve et gebyr først, og søger at bevise det legitime senere? Du behøver ikke betale for en klipning, før du har modtaget varen ... selv din kreditkortselskabet sender dig en regning, før debitere dig gebyrer for ikke at betale det ... hvorfor skulle det ikke være det samme med bankerne?
Kassekredit sanktioner er ikke uetisk ... det er den måde, de håndteres, som ikke er.
Jeg kan se du har oplevet Wells Fargo er kunde "service?"
Enig med Mike, hvad nu hvis alle over udarbejdet deres konti? Du gjorde den fejl over udgifter og nu har du betale konsekvenser og bevæger sig på klogere.
Great artiklen Matt. Det ville være en velkommen forandring her i Canada. Jeg har fået nok af de "gebyrer" for en.
im så i - hvor kan jeg tilmelde mig?!
Er du virkelig seriøs omkring at starte en bank? Kun til amerikanske People? Eller alle online ideer?
Mens bestemt ikke din idé om SafeBank, er der en temmelig bemærkelsesværdig bank, at jeg blev opmærksom på som en del af at deltage i LaunchBox accellerator programmet.
Square 1 Bank - https://www.square1financial.com/ - er i høj grad en "start" bank. Alle mine interaktioner der var med virkelige mennesker, som kunne få tingene gjort. De var faktisk i stand til at tilbyde gode råd om ting, de "turn penge væk" fra alle, der er ikke en VC bakkes bekymring, etc.
Syntes bare du måske tror, de var interessante.
Ja, men deres web-ting er forfærdelig - vi har brugt dem så godt som Silicon Valley Bank, der er den anden go-to for nystartede. De er "dal" kun af navn, er det ikke føles som om der er nogen reel innovation især på teknologien siden kommer ud af enten.
Forholdsvis, de er stadig miles foran andre tilbud. Jeg havde en lokal Virginia Bank alle, men beskylder mig for svigagtige aktiviteter for at ville åbne en forretning konto for en online-forretning: "Hvad mener du med du ikke har et kontor"
Rude 1 har dækket omkostningerne til FedEx alle de dokumenter til os, og var overordnet omtrent lige så cool som en bank kunne være.
På den teknologi, siden de også tilbød os en scanner til at åbne en konto (ingen brødristere), så vi kunne scanne checks for depositum elektronisk, hvilket jeg syntes var ret cool.
Jeg har en kunder, der bruger square1 og de har overbevist mig om at prøve at bruge det så godt. Vi vil se, hvordan det går.
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Den virksomhed, du er allerede i, kommunikation, er vigtigere end penge.
Når det er sagt, ja, ville jeg slutte din bank, men hvad jeg virkelig vil have dig til at arbejde på næste er en teleportation enhed.
Jeg er med Donnacha på det. Mens du er ved det, en af disse dejlige replikatorer (Star Trek én, og ikke de Stargate SG1 en), og omkring 4 flere timer om dagen. Takket være Matt!
Jeg må sige, at dine tænder skal være i god form, som du skal børste dem i vidt omfang!
Og banken, ville jeg tilmelde dig med det samme! Faktisk, hvad holder dig tilbage? Hvis du villig til at finansiere en sådan bank, er jeg sikker på der vil være folk til at køre det per din vision. Tilmeld mig som en CIO der!
Jeg ville man op dit SafeBank, ville jeg have SafeCU, og det ville være en Credit Union med medlemskab baseret på at være en internet-bruger.
Jeg ville søge en forsikring opbakning fra alle lande, så alle borgere i verden kunne faktisk bank SafeCU.
Jeg ville ikke betaling for min iPhone app, selvom det kostede mig $ 40.000 til at udvikle sig. Hvorfor? Fordi du aldrig skulle have til at bruge penge for at få adgang til dine penge.
Jeg ville have et netværk som creditunion.net at gøre det lettere at pengeautomater over hele verden. Åh, ville en del af min iPhone / Android app være en fri ATM locator.
Jeg vil også følge i fodsporene på USAA og tillade Kontrol, der skal deponeres ved hjælp af teknologi, som der tages et billede af check.
Faktisk Matt jeg vil sætte den udfordring ud. Hvis du finansiere opstart af en sådan bank / CU Jeg vil slutte Automattic i kodning denne bank til virkelighed.
Jeg tror, at pengeautomater og Kontrol er noget old school. Et område med risiko (for kunderne) er brugen af betalingskort. Jeg tror, kreditkort er sikrere.
Jeg vil gerne have en bank, der udstedte kort, som havde svindel garanterer gerne kreditkort.
Generally, I would like to use a bank with more innovative ways to access and use money digitally and safely.
I think you are completely wrong about safety in credit cards. Frauding a credit card is much easier than a debit card. To fraud a credit card all you need is the credit card. A signature is not enough to validate/invalidate a purchase in my mind.
With a debit card you have to have a password (PIN), which in most cases is a number that is random (or should be).
I also don't like the waiting period with most credit card purchases where with debit card you know instantly if you have the money for a purchase.
I think banks like SafeBank would discourage the use of credit cards as spending money you don't own is not a safe practice.
How would people get cash out if you had no storefronts?
ATMs!
Which is the one thing ING Direct is missing (in Canada, has Electric Orange in US) to make me happier than I currently am with them.
Your own ATMs? Or all the other bank ATMs? Because the other banks will charge fees to your customers, which will really inhibit your growth. No one wants to be charged just to get their money.
SafeBank would reimburse your ATM fees like most (?) online-only banks.
Ignore that comment.
I have no idea what I'm talking about (some reason I thought I've heard that online banks do that).
USAA seems to be the only one that reimburses all ATMS.
There are others that do it as well. Schwab's Investor checking account offers a rebate on any ATM fees you pay. I believe USAA reimburses up to a certain number per month (though it's generous – I never came anywhere close to it).
Or, you could just print out credits? A new system of monetary exchange?
Like PayPal, except for sending money via email you give a “fortune cookie” to the other person and to get their money they simply sign up.
Whoa…
Well, the little money I have isn't worth a bank, but I'd use it if I have money to save! Gør det. Venligst.
Matt…when are you going to install MU on *.TT so I can get Sco.tt ? ? ?
Maybe I'm missing the joke but Matt does not run all of .tt, that is the cctld for Trinidad and Tobago. See http://www.nic.tt/ Sadly, sco.tt is already taken.
Although I guess he could do MU anyway and you could register Ander.ma.tt or something else – http://www.onelook.com/?w=*matt&ls=a
Matt, please do it. Please make SafeBank. I want to sign up too.
I love the enthusiasm here, Anna! I'm with you!
Matt – the bank you want (or a lot of it) already exists. It is called a Credit Union and you have one of the very best very near you on Second Street – patelco.
They've had online banking since 1996. They do things like cover all transactions against a stolen debit card even though they don't have to by law. And you may not realise it but credit unions are in fact now open to everyone.
Tilmeld mig! Banks here in Tokyo, in many ways are even worse and less convenient.
How come there's a World Bank for the fat cats, but no reliable one for us indies, is what I wanna know;-)
let me know if I can hellp!
Terri
I think you are a secret genius.
Also, I heart ING.
I second the person who suggested that you work on a teleporting device. That is my secret dream!
Lastly, the only thing I don't like about your plan is the SMS part. I only had my cell phone for two months but I received about 20 fake banking-related SMS's trying to get me to call fake numbers or use fake sites. I think there are too many SMS scams for you to use that for the PINS (unless I have misunderstood SMS and it stands for something else now).
Teleportation is awesome! Have you ever seen that Simpsons episode where homer uses the matter transporter machine so that he can use the bathroom from his living room? Brilliant! haha!
I would be so upset if SB functioned only in US. I am Aussie and we want to be initially included. payPal took years to make us equal. Please send me your invite, for the start I will invite only proper people, after proper consideration to whom I send it. Good on you Matt.
Just wanted to throw my vote in for UTAHCON's suggestion of a Credit Union rather than a bank, the differences are subtle but in general creating a Credit Union is probably easier and offers more benefits.
Can I be a customer AND help build the infrastructure for it? Purty pleeeeeze?
Credit union is a great idea!
Awfully impressive. Hopefully there are more people out there who think like you.
also, open a branch in Japan at the same time. Asia is one of the keys to the new global economy. and the geeks and regular people here are probably even more apathetic about the possibility of good banking than North Americans – easy to surprise and delight them with the story you're telling.
Interesting! So I like the idea and expect an “invite” to make a deposit and no worries…I can create a BIG buzz for your bank!
Sounds great, throw in some gold bullion and a bit of silver, plus a http://Trubanc.com platform and count me in !!
Mark
I love my credit union, NFCU is really good. I would like to see a more technologically advanced credit union, using the Verisign little 6 digit number system that works with the iPhone VIP app would be awesome.
Addison Avenue Federal Credit Union just launched Secure VIP on the iPhone (and other handhelds):
Disclosure: my company, Wesabe (which was started with a lot of similar ideas to Matt's in this post) works with Addison.
Maybe it could update my Twitter account every time I buy a coffee
Make it with a simple account structure. One simple account giving interest if you are above a certain level, charging interest if you're in the red. On a daily basis.
Interests and limits would be determined by your warranties (house, etc.) and credit rating.
Have only a debit card, or a credit card that gives you 30 days without interest (as if you would pay the whole balance from your credit card each month).
Oh! And yes, make it international from day one. One world, one currency. Easy access anywhere in the world.
Are you a member of the Illuminati?
The only thing that would keep me from signing up is the name. “SafeBank.” Anything with the word “Safe” in it that deals with my money sounds too good to be true.
How about 'MullenBank?'
Open-source banking is way overdue. Please count me in, both as a customer and a contributor.
There are a group of us working on new standards and Open Source Software for banking:
http://github.com/opentransact/opentransact/wikis
We are starting a fresh and not planning on changing anything to make it fit for existing banks as they are too complex and old fashioned to fix.
There are already 2 demo implementations and it looks like there will be a few real world implementations within the next half year.
Awesome, inspirational post. Just want to point out one thing:
ING Direct has actually based quite a bit of publicity around the fact that they do this. They say don't want the large accounts, don't want customers who expect to be treated better than most other customers, etc.
I think ING Direct has executed on a good chunk of this strategy, but are limited in going all the way because they're owned by a real bank.
When I signed up with Wamu, they explicitly told me that they didn't treat big accounts different from small accounts. The account manager said it was the reason he jumped over from Wells Fargo.
Too bad they got bought by Chase. Now I'm looking for a SafeBank to deal with.
While your hubris is attractive, I think you need a little deeper understanding of banking.
Banks no more make money off taking deposits than Google does by conducting my searches. Just as Google's business model is to put eyes in front of ads, a bank makes money by aggregating savers and matching them with borrowers.
While retail banking is frustrating from the perspective of the consumer, it's even more so from the perspective of the bank, because retail depositors are an expensive (though stable) source of loanable funds. Many banks would just as soon not have to deal with them and stick solely with commercial clients and the interbank market for funds.
The other problem with your model is the idea that keeping a capitalization 2-3 times higher than your competition would somehow put you at a competitive advantage. While your bond holders and depositors might appreciate that, any equity investor will be signing up for returns of 1/2 or 1/3 what she might get investing in your competition, though we expect that to be mitigated by cost savings through efficiencies and marketing.
I think there is tremendous room for improving the current situation for retail depositors, but I'm not sure that yours would work. You can't lose sight of the big picture — the borrowers are the banks customers, and we depositors are suppliers.
I don't think SafeBank would be attractive at all to equity investors, for exactly the reasons you mention. One of the big tests would be if it could be bootstrapped cheaply enough to avoid having to raise money in public markets.
I think there is a lot of space for simple retail banking even with 100% reserves. Profits are not going to be anywhere near as high as traditionally.
They can be structured as co-ops and be funded by membership fees and a variety of other ways.
I believe in this idea of limited purpose banking, where each bank only does one thing.
Store or Web front operations could provide the “financial supermarket” front for people who like that, others might pick and choose what they want.
A group of us are working on Open Source software to make this possible on the Agile Banking google list.
http://groups.google.com/group/agile-banking
Great thoughts and dream like ideas. I want to be in your board room during the first exam.
It all sounds very child like.
Excellent points Jim. I do think there are other banking models that will work. I seriously wonder if this “do no evil” approach to banking can make money. If Google charged even a penny for a search, their share of the market would be no where near what it is.
You see a bank like Wamu. They played nice and they were swallowed whole.
sign me up.
Hej Matt,
And I say this as a genuine compliment. Sorry for my possible english mistakes. It's not my native tongue.
I really like how you want to grow the bank as in get the clients, but ,maybe I'm wrong, I think I see a flaw in your argument at the end of the article. Why do you need a bank if you just want to make money the way Mint does today? Looking at it only from a business perspective it seems to me it's way to complicated and it takes a lot of time until you'll be able to make money.
The only way it makes sense is only if you want to do this as some sort of social corporate responsability kind of thing which makes you a incurable dreamer
Self-empowerment!
You rock, Matt — you can do anything because you appeal to the intelligence of people first and you call to action afterwards, when people are listening.
I personally have an idea for co-operative micro-credit banks to be established in every single family or small group in Canada (which could be done in any country, actually) where anybody could borrow at the prime rate and then, loan the money at any interest rate “the co-op members” wish because, whatever money is made, it's REDISTRIBUTED back to everyone!
Isn't that cool?
Paying interest on loans which will be PAID BACK TO YOU ; )
There needs to be public pressure for this idea to become a reality.
People absolutely need to take back control in their own hands — big banks have ruined us and now, it's time to bring fresh new ideas to how the money flows.
Being involved in Diku-Dilenga,org (an NGO offering microfinance in DRCongo), I thought that Matt's wonderful proposition could leverage many microfinance organization methods:
- reward people giving you money;
- lent only money people can reimburse in short terms (6 months);
- target just sustainable entrepreneurs with loans;
- go after each cent not reimburse.
Then this bank will be able to reach the 99%+ of returned loans!
Matt, I have a very similar idea about starting a bank.
One that offers simple banking solutions. Instead of offering many many different credit and deposit products, my dream bank offers three solutions, investing (deposits), spending and borrowing accounts. And all these accounts are connected.
The primary banking channel would be the website, making then ATMs and over-the-counter services secondary channel.
And that data part is exactly what I want the bank to do.
Can you please make this international from the start? Think beyond US economy and reach out to global economy?
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another thing – you mentioned that VC would threaten safety? I feel that VC threatens any interest that is not aligned with financial profitability.
You seem to be containing VC well in Automattic. Though I get the general direction – can you elaborate why you feel there is a VC threat here and what is unique about this context?
Automattic is a risk-taking, profit-making venture with high growth. SafeBank would only be 1 of those 3, so not a great fit for the venture capital model. (Some forms of private equity might be interesting.)
I think your idea is received so well because of recent events but in a few years people will have forgotten about the banking crisis and will get greedy again.
That is when they will all take out their money from SafeBank and move it to a high-interest account in Iceland
A fantastic article with lots of interesting ideas. Still not sure how you would get cash out though…whose ATMs would you use? Who would pay the interchange fees ( http://www.atmsurcharges.com/intro.html )? Or better yet would it be a cashless bank and everything needing cash would be paid via NFC mobile payments?
I think ATM fees would be a necessary evil, but I think the trend is toward cashless so that would be less of an issue over time.
Fantastisk indlæg! Very insightful and you hit the subject right on the nail. There's actually some banks in Denmark, at least, that have tried this aproach more-or-less. http://www.basisbank.dk for instance. I remember I read about them as an 'innovator' within the bank sector a couple of years ago. They are doing ok, but strugling with the trust issues of its customer base. Just like any company that deals with large transactions but which is only based online with no brick-and-mortar stores.
When you start to think about 'webbyfying' a bank then think of all the sectors one could invigorate by restructuring the bussiness around a web startup bussiness model. Produce (“you order, we deliver”), the car industry (already happening with the Tesla and others), phone industry (skype and the numerous little frontend companies which cater specific needs), publishing and media distribution (amazon, iTunes, netflix), electricity (buy you power local with niche offerings) etc….
It's already happening and will continue to expand to other indutries. I think there's a lot of benefits in the long run – both business wise and for the consumers with this approach. My guess is that whoever commands how these 'old' industries transition to this new model will command the 21. century – just like Ford, Sulzberger, Rockefeller did a 100 years ago.
Seems like a lot of people are asking for an invite. Rather than an invite, I'd be begging for an opportunity to be part of building such a bank.
There is so much room for seeing banking in a fresh light and now is probably the best time to do just that.
I'd love to be part of such a project
Me too… I'd volunteer for such a project!
A bank that just holds money? That there is the reason this will never work.
When I leave money in the bank they pay me interest. Hvorfor? Well because inflation depreciates the value of my money while its lying in their account. So interest is the bank's way of offsetting that cost. To make money to pay that interest they have to invest their depositors' funds. Keep in mind that a good savings account will give you an interest rate of a couple of percent so they need to invest the money in a way that gives that return plus the rate of inflation (since the money they invest is worth more than the money they get back after their investment returns an income).
Now given that you started with the intention of setting up a bank that doesn't damage its customers' interests, how can you justify a cost for leaving your money in an account there? That's not very sensible.
Most checking accounts holders earn pretty minimal interest — ING Direct Electric Orange currently has %0.25 APY for accounts under $50,000. (I wonder what percent of their accounts are under 50k?) I think if your goal is protecting your capital against inflation you should probably allocate your money in bonds and money market accounts. The “working capital” in your checking should probably not be the bulk of your assets and move the needle much when earning 25-100 points.
So? Checking accounts are not meant for holding funds for a long period of time. They're for quick access to funds. Savings accounts on the other hand are and have a higher rate of interest as a result.
As you say the working capital in your checking account is not the bulk of your assets. So what are you proposing? A bank that solely does checking accounts? In that case by your own admission most of peoples' funds would be in the “unsafe” banks.
Of course it depends on the rate of inflation, but in a solid economy that should not be too high.
Awesome idea, and very well written. I like your creative ideas with heavy web designer / developer influences
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You have a very interesting concept Matt – we need more innovation in our financial markets.
I have experience in opening a new financial institution – a few years ago I was the principal organizer of a new bank that my company opened. As I'm sure you would guess, there is a staggering array of regulatory hoops to jump through in the approval process.
The 100% capital reserve concept is interesting, but would create challenges for the startup process. If you truly wanted to hew to this tenet throughout the life of the bank, you would be required to raise startup capital equal to 100% of the expected deposits at Year 3 of the life of the bank. Currently, federal regulations require new banks to maintain what they call a Tier I capital ratio equal to the expected asset size at Year 3. This of course is well below 100% (typically 5-10%), but still a challenge in fund-raising.
I know there is no shortage of “bastard banker” stories, but I can say that the vast majority of new bank founders don't go into business to take advantage of customers. Certainly it seems like the mega-banks aren't in the customer service business, but you might check out any one of the 8,000 community banks that operate in the US today. Many of them are small business people too, and share your values in customer service. You can find one via the Independent Community Bankers of America web site at http://www.icba.org
I don't know if 100% reserve would work, but you could make a very good story with 20-30%. Thanks for pointing out that there are lots of smaller banks out there already — like credit unions it sounds like they might offer a fantastic alternative today to the merge-banks.
This is shockingly close to something I discussed 20 months ago:
http://www.buro9.com/blog/2006/12/26/why-hasnt-on-line-banking-experienced-a-web-20-overhaul/
The real thing is:
1) Sikkerhed
2) Management of our own data
3) Contextual offers
Cool, where can I download the API documentation?
Getting started on that iPhone app
I think iPhone app would be an overkill – stick with developing websites that are adapted to iPhone browser. The only benefit of having an app is the marketing via app store, which does not seem to useful in this case. At the same time, there are multiples benefits of a website:
-you can update it anytime you want (I am sick of app approval process);
-it costs way less;
-it's way more streamlined from a user standpoint.
Paul Graham wrote a good article outlining all this in more detail recently
Funny how nerds always feel they know better than everybody else, about everything, in industries they know nothing about, have no qualifications in or have any experience in on the business side. Yet when someone who doesn't have a CS degree writes some code or html, they complain about how much of an art computing is, how hard it is, and that it requires decades of experience to get right, etc…
I would say this fearless naivete, while 99% of the time wrong, and mixing of ideas from different industries is at the heart of many innovations we enjoy.
I spent more time writing down my thoughts here than I actually did thinking about them — obviously anyone embarking on this endeavor would need to dig much deeper on every aspect, but I think it's interesting that there's obviously *some* market demand and people with experience in the industry (and starting banks) have dropped in on this comment thread. That's what's fun about brainstorms, anything is possible.
Yeah … because those guys in the banking industry, with decades of experience, have done such a outstanding job.
Is selling the sort of data you're talking about possible under banking privacy laws? I thought the way that banks got around those restrictions was reporting everything to central (bank-owned) credit bureaus that, in turn, sold the data.
Setting that aside, it sounds like you think banks today take too much risk with our money. But then you're passing up relatively safe sources of income (lets call those honest, old-fashioned loans) and instead betting on a totally different business model. Instead of spreading your customers' risk across a wide range of investments, you're essentially making them bondholders in a single startup venture that's betting on selling data about them to the highest bidder.
With that in mind, I don't think an analytics/advertising-based model is where I want to bet my own life savings. Do you think you can make 5%+ selling data about depositors today, to provide even a nominal, positive rate of interest for them? If market interest rates go up to 5%, do you think you can make 10%+ selling data about customers?
Let's say you have a customer with $100,000 on file. You'd need a few thousand dollars in data revenue for that one customer to support paying them any interest at all. If inflation hits 5% again, or higher, how do you create enough revenue to keep their savings “safe” from inflation?
You're 100% right that we need new kinds of banks that are focused on depositors. But I don't think data-mining is the way to design a bank that has the right incentives.
The bank could still lend some out, traditional bank stuff, though a much lower percentage of assets than most banks. The other ideas are just complementary ways a bank could make money in non-customer-hostile ways.
A startup called Wesabe is offering their better money manager as a white-label service to banks and credit unions:
Nice find! I particularly like being able to update my transactions from Twitter, would prefer a more secure solution, but not bad either.
It seems your really getting into this banking innovation thing! For some good stuff on the subject I recommend the following
What a brilliant UI!! I love the way that you can set spending goals, and see where you are in that goal. What a great way to show children how to budget and track money! – thank you, Matt.
This is what Ally.com is attempting to pitch, you should compare SafeBank to them.
Where is the bank making its money? I get your plan to take in depositors, but traditional banks make money on the spread between the interest given to its customers and the interest charged on loans (amongst fees, and other stuff).
Where is the First National Bank of Ma.TT going to make its money? Are you going to loan? What kind of loans?
As I said, the bank would make loans, and also explore opportunities with the vast amount of data it has not necessarily selling it to outsiders but using the insight into your life to recommend ways you could save money, Mint-style.
Wow, for just a toothbrushing thought this is really amazingly detailed and with a lot of great service and marketing details.
I was stunned, however, to hear about the revenue model. At least me personally, I would not like my bank to tinker with my transaction records (just as little as I want Google to analyse and tinker with my personal communication).
Wouldn't that result in me giving money AND data to the bank in return for… hm. A fast webinterface and a beautiful credit card? This appears to be imbalanced.
While most banks don't offer the latter, I hope they at least are not making additional money with my data.
(Of course, the idea of doing the recommending yourself and making money by some sort of clickthrough to new services makes me feel more comfortable. But it still requires a considerable amount of trust in your privacy fineprint…)
I hope your bank has plenty of ATMs but no branches; You can spend the money you save on branches to pay for my external ATM fees (see http://www.53.com ). Also, skip expensive types of marketing and use that money to bribe other banks to cooperate in speeding up your transactions- they need to be same day but the goal should be instantaneous transactions. Finally, you should have 24/7 telephone/chat support- splurge here for the best; People are starving for good customer service (see http://www.zappos.com ).
I think your geek bank has some potential. Fun read, thanks for sharing your teeth brushing thoughts
Matt: The essay is fantastic, as everybody before me praised already. One really basic concept threw in the middle of it bugs me though: “A big part of the website would be the blog, of course.” It seems that every website of every field could be adapted to a blog somehow (even a bank!). I thought it amazing, but I didn't get there really. You meant with that phrase that your bank website would have sequential posts with pieces of information and a community commenting it or a bank blog would go further than that?
thrown*
You have no idea what you're talking about – http://news.ycombinator.com/item?id=777283
I would love to think that this model would work. And maybe it would… It's just that I've worked in the financial sector long enough to have formed a very jaded view of what is possible under our current oligarchical banking system. My first (and perhaps knee-jerk) reaction is that if it became too popular, SafeBank would be swallowed up by one of the decreasing number of banking behemoths.
On the other hand, given what you've already accomplished at such a tender age I'm disinclined to declare that you couldn't pull it off.
Wonderful wonderful idea, they should have one of those in every country.
Running to twitt this.
Your text color and background make it very hard to read!
agreed! I like the art at the top but the color & background of the article make my eyes hurt from the strain. I can disable images in my browser, but then what's the point of the graphic design?
I am passing this to my friends who are in financial industry. This is an amazing idea. Probably no one would accept it since they all profit driven…
Matt, you're a smart guy, but frankly stick with what you know. This sounds like an awful idea.
If I stuck to what I knew I never would have started blogging software.
It's just a blog post, on my personal blog, no need to take it so seriously.
I too would be interested in helping to make this a reality if that option is ever available. My primary background is IT Security and Compliance. Currently for healthcare but I have done a bit of banking work in the past.
How do you deal with competitors that show up and run on the same platform and model you do? This plan works great if you're the only one, or one of very few doing it, but competition in your space could throw you heavily off of your game.
Most good ideas have a ton of people doing them, I consider competition a validation and something that drives innovation, not a reason to not do a business.
Hi Matt, I'ma first time reader. I've read a bunch of crazy comments from people here and on HackerNews.
I think your post is great. It is not the idea, or your brainstorming here that is awesome. It is the fact that you have taken this concept so old and said, lets start again. What is the main goal, and how can I serve the needs. You were brave enough to question something that we take for granted.
Your ideas are just loud thinking of things that need to be solved. I can't see why anyone would read it as a business plan.
I will read this as, hey here is a guy that says that banks suck and he is thinking of what could be done. Any banks listening?
I wrote in my notepad to reimagine the banking system from the clients' perspective, and I hope I will write my take on this soon at aleveo.com
Cheers, and thanks for the shared insight!
- Dejan
From what you describe of SafeBank, you should look into modern Islamic Banking as a model.
It is not about bonuses but about the profit making model. Conventional banking practices are concerned with “elimination of
risk” where as Islamic banks “bear the risk” when involved in any
transaction. That is the only way to make banks in to SafeBanks.
As a banker I'd rather have a money-making blog to run. brush your teeth again to be sure.
Most excellent idea. I will head up the Safebank Mortgage department. We will only lend to people with 780 credit, 50% down payment and five years of income verification. And we'll do it at 3.25% And still make money
Sign me up. Banks these days suck.
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umm this sounds awesome- think bank 2.0 check out this bank just made an iphone to make deposits because most of their clients are in the military- http://news.cnet.com/8301-13579_3-10307182-37.html
This sounds like a really cool idea, let me know what resources you need to get this going…
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Thanks for the inspiration. Harvard Business Review ran an article last year profiling industries that only make a killing when the customer is having it stuck to them. Biggies were cell phone companies (think overage fees), video rentals (think late fees), airlines (same seat cost more as flights fill) and banks (think fees, fees, fees). I loved banking at WaMu because they seemed less predatory than any other bank I had experienced.. right up until they went out of business. Tak igen!
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Wow, sounds like a great bank already! I would completely sign up – let us all know when you're ready to go!
Where do I sign? I'm ready. A couple of years ago I accidentally transposed a number in my check book (wrote 2 instead of a 5). I don't remember the amounts but I do remember the result. (amounts for illustration only)
Balance $100
Check #1 $105 car payment
Check #2 $5 Blockbuster
Debit $15 Gas
Debit $5 lunch
Debit $3 Morning Coffee
This resulted in a $150s in overdraft fees. While I can actually understand why I would have received one overdraft fee. I think receiving 5 $30 OD fee is stupid considering 4 of the transactions didn;t even ad up to $30.
So Matt sign me up. I'll be the first in line for a customer application.
If you are going the credit union route, then we all can be your seed investor/stakeholder/member.
Wonder how many members SafeBank would need.
Great Idea, when you lunched it, please do lunch a China branch in my City.
And, I can find some healthy projects for your bank.
No risk, all gov based.
It would be the last thing I'd do with my money
I've seen pretty similar business plans and we decided to help one of them happen. It just didn't work. the customer segment willing to buy in was one that just couldn't let the bank survive, despite of a professional banking team and a very, very good IT.
You're dreaming the way adolescents do when letting their imagination fly with Superman
But it's refreshing and very nice to see such naivity exposed to us, your freinds
Maybe tomorrow, you can fix health insurance.
Matty McMatt. Your article has been linked from Y-Combinator's Hacker News. And they have valid criticisms, I would like to see you debunk.
Thanks Mate.
They should read the article (many of the comments appear they didn't) and the comments here.
Hej Matt,
Great post and an issue that cuts to the core of human interactions.
Think of some of the big religious divisions in the world and their issues, stereotypes and traditions around lending money – think Christians, Jews, Muslims and that's just the well known ones…
Always near the bottom line is the issue of trust and design. It is obvious that Banks are all about trust. All banks in try for prime locations and building with completely over-the-top architectural styles often routed in some mythical past. They cry out for the public to trust them and if not trust, to be just overwhelmed by the gravitas and unquestionable authority of the 'great financial institutions' that they would like to be seen as.
They often seem completely enmeshed in the world of secret societies and shady morality and legality (lately we see that they actually are).
Like insurance schemes, if you pare back to the basic functions, they are all trading on people's fear of being robbed and of just not having enough… (health/food/stuff).
While it is naive to think that we can do away with banks and/or money overnight we could usefully explore these issues and look to applying some of the workable systems and ethos from recently emerged new media like transparency, crowd sourced building/debugging, micro-publishing, near zero cost replication and distributed, fault tolerant processing.
Who's to say that we could not set up a system of micro-trading that did without centralised, top heavy hierarchies. Instead it might rely on self policing and regulation.
In Africa people have set up micro credit transfer systems based just on ad-hoc mobile phone owner network that enables people to send credit, that can be turned into real currency, simply.
Maybe the emerging nations are teaching us a thing or two about our technology and about our greed once again!
Good luck with your new career Matt. I'll open an account with you.
All the best Dave
Matt, I think someone has a similar idea. Or, at least, according to their advertising, they seem to think in a similar way to what you've described in the way of service, though, perhaps not the “membership” model. It's Ally Bank at, er, allybank.com
Incidentally, if anyone has checked them out, especially if they have an account there, I'd love to know more about it!
The marketing & technology aspects of this idea are great; too bad you don't have time to help more banks adopt them.
Unfortunately, as mentioned in other comments, the economics of this banking model don't add up. It is possible, that by adopting strict loan underwriting standards and offering low/no interest accounts, you might make this an attractive option to college students and young adults with few assets…not much profit there though.
The course I took last semester ( http://faculty.baruch.cuny.edu/kwang/ ) covered the various factors which incentivize banks to undertake risky lending practices. These are very complex problems; dealing with regulatory, competitive and economic forecasting issues. There are no easy answers.
That said, I wish my bank would buy Mint…
Matt,
look to what Grameen Bank did. They started with micropayments and are now a force to be reckoned with in Bangladesh!
Interesting post. I was thinking about this same concept today. What about also giving the money made on loans back to the depositors of the bank. So a user can sign up, deposit x amount of money and choose to get returns from a loan portfolio that a bank makes. Rather than the bank getting all the profits, the profits from loans goes straight back to the depositors. Of course, they may not make money, but they also can get a decent return if the loans the bank makes perform well. Can this work or I'm I being a idiot? Tanker?
sign me up for real.
those of you working on the iphone app, I'm tired of putting money in separate envelops under the mattress. How about portfolio-style earmarked savings, where each deposit is diverted into multiple folders per user-defined percentages; savings for dog emergencies, savings for triathlon supplies, etc., all within one account. And the ability to drag and drop funds from one folder to the next. Easily keep track of multiple lines of project-specific savings. The total money in the account matches the total money displayed in the app, but the graphical representation of how that money is divided up and sorted and earmarked makes all the difference in the world.
How about a credit union instead of a bank?
It would be even sweeter to take customers from all the commercial banks and not make any profit from them.
But yes, BANKING is the most pathetic industry. Innovation is zip, costs are very hight (youd think costs would be low what with “competitoion” – tells you something).
All it would take would be one modern bank not run by arseholes to tip the whole industry on its head.
Sign me up for SafeBank too
Great Idea – I´m in and will handle the german PR & marketing based on succes of course
The thing that strikes me most besides security is the ads you´ll show in their banking statements – I think it´s one of the most obvious things any bank could do, but – of course – they never come up with ideas like that by themselves…
I ha the idea of a “best price” reverse calculator, where you type in what you pay, eg. for your phone, insurance, electricity, and the site would suggest, where you can pay less. That thing in your bankingstatement would be just so much more convenient – go, please!
As an ex-banker and now financial start up, and loyal WP blogger, this is an inspriatonal post for me.
I am gong to do some math on the concept of extra capital. As someone earlier suggested this reduces relative profits to other banks, but there are other aspects here like no branches or trad marketing that compensate.
Matt, could you please tell me is this to target or open the bank also in countries outside of USA ? Australia etc.? Good on you, ta! Rado
They should make The Sims for entrepreneurs to see how certain start-ups would work out….
I just tweeted about this! I HATE my bank. I was there 20 years. Finally moved. To USAA which alot of people have been talking about. They rule and are the closest thing to a safe bank. You have seen them actually doing a bit of advertising about their “safeness” in this downturn and are picking up gobs of customers!
Sign me up.
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Can I customize my debit card?
This would make no money.
If you take all the money and put it in a vault, the rate it earns the bank is 0%, and it costs you tens of dollars in admin, because you have an infrastructure to run.
You want 6-figure salary earners, who will deposit 6 or 7-figure amounts, but you're not going to offer them any return on that.
You restrict accounts to the FDIC limit – a scheme you will have to pay to take part in, incidentally – but then fail to make use of its safeguard. Put everything *over* the FDIC limit in a vault, and offer no return on that excess, while risking the first $125k on low-risk investments.
Your alternative method of obtaining a return is the traditional mortgage route, which I'm guessing you'll baulk at because of the sub-prime mess, but can earn you money. However, then you need to either underwrite the mortgages yourself or use a commercial lender.
I don't see how you get out of the current mess except by having been lower risk, or less naughty. And there are already many banks and credit unions who take that line. You just don't know about them because they are beneath your radar.
To finish, you have also aggregated everyone into the same use case. Grandma wants her pension payouts, her savings for the kids and safety safety safety. She doesn't care about your iPhone app; she wants a building to go to, with a nice person to talk to. Mr Fresh Startup, however, wants to bank his $2m trust fund, get a credit card that he can impress the ladies with and borrow $40m from you for his startup. He does want the iPhone app, but he wants to get a real rate of return on that trust fund, and to borrow at a reasonable rate. You run significant risk of being master of none here, because the thing that banks do – invest money and return interest to their depositors – is what you don't want to do.
Sorry Matt. I'ma dreamer too. I suggest you find a nice credit union with an iPhone app.
That plan seems pretty sound. I'd buy in.
Matt, most of the people they just want an extra top up on their interest rate or have a face to face relationship.
You should not mess investment banking with retail banking. The second is the old boring stuff that Safebank will do.
Having funds over 2-3x the Fed reserve does not mean the bank is a lot more safer, it makes liquidity management easier. A safer bank would be the one that does not need to go to other banks to ask for money (it relies on depositors). Any retail bank that did not get excitated by the WallStreet CDOs and subprime would have not experience any problems.
You idea of replicating Mint is the same I heard in 2001, the main problem is… do you want your bank to monitor your expenses, what happens when the credit card is from another bank you will not have this info, are you going to give a premium to people that share this info
Alex
@Alex … it is essential that Matt mess investment banking with retail banking because that is precisely what the large banks have done. I aagree with someone that there are some conservative smaller 'below the radar banks” who have not, but darned few.
Think derivatives and off balance sheet financing and investments – that places banks squarely in the investment banking space.
There remain 3/4 of a quadrillion dollars outstanding in derivatives, and the associated liabilities form a large part of the concern over 'too large to fail' that perpetuates bad banks.
A new bank that scorns the investment banking approach, maintains a defined level of risk, and offers a value proposition along the lines mentioned by Matt has merit and could charge for that offer.
The challenge would be in offerring suitable interest rates on deposits. SafeBank could experimnet with achieving those returns using P2P Lenders as a low cost origination channel, offerring decent rates at reasonable risk levels.
Matt,
I loved reading your post. The attention to detail you put in and the simpleness you strive to achieve is excellent.
It would be a hard switch though for me, from USAA. I love USAA. We use them for our banking as well as insurance needs. The customer service is wonderful and the refunded ATM fees is definitely a bonus.
What I like most about your idea is the attention to the web, and how you would like to incorporate something like MINT in to the site. I think that would give you a REALLY long leg up on the competition.
Hope you can turn this dream in to reality some day.
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Scratch the FDIC, they're pretty much bankrupt anyways. It's also a way to socialize losses. Every bank pays in but the poorly managed ones get the money, so there is a transfer of liability.
This type system punishes the banks that have good management and follow sounds practices forcing them to absorb the losses of their competitors. Also creates moral hazard when gov. socializes business losses. Hmmmm … all this sounds like it has happened before
Put your reserves in gold and silver and I'll be first in line. You can't devalue hard assets through inflation.
Hej Matt,
If every time you brush your teeth in the morning you come up with ideas like that, I officially apply to be your next roommate.
(with a shared-bathroom)
Matt
Nice idea. Thanks for sharing the way your mind works. I like it,
Jackie
I'd sign up to a bank like SafeBank in a heartbeat, i've lost count of the amount of times various banks have let me down or annoyed me to the point where i decided to close my account and go elsewhere with my business (only to be annoyed again at a later stage).
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To be honest, I like your ambition, but I think it's all a bit, well, naive. There is a lot more behind the scenes that actually do need the “top shelf” bankers with the knowledge and intuition of the market to actually earn more money with money so that loans / mortgages and all the other things people are holding onto for dear life are readily available. However, a more cautious bank wouldn't go a miss.
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Matt, found your site a little while ago, interesting stuff. I am not in the Web 2.0 scene much so didn't even know you were the guy behind WordPress. Must be getting old!
Anyways, I have been mulling this same thing for years now. I hate banks! As a entrepreneur and small business person they just suck.
There's an old saying, “Banks are not in the business of taking risk.” I would add, “…unless it's with your money.”
I have strong opinions against the Fed system and fiat money. Might not change that, but I have decided I will do a bank someday. I loved the micro lenders and you can find out what happened to them, I am not sure if Prosper ever came back online when the SEC or whoever went after them.
I would start up a bank or a lending company in a heartbeat and I got the drive to make it work too. I've been researching it now for almost two years. Regulations stink!
By the way, you don't have to be a member of the FDIC.
And then you run into something called 'Compliance'…
Everyone is talking about why something cannot be done, what happened to entrepreneurship? I hear people mentioning regulations, compliance, other barriers to entry. So what!
We only do things that are easy?
If it's hard, it makes it that much more enjoyable in my opinion.
Did someone mentioned USAA? I bank with them, only for military or dependents, but a pretty good bank. They don't fee you to death and are very helpful. I can scan my checks anywhere I have Internet.
I agree with Bruce, we need less regulation not more, but the minute something bad happens you got the certain groups who scream for more government oversight. The regulators really helped this last decade, eh?
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I have suspected that small business and microfinance areas are underserved, and low risk. Some combination of Kiva with Zopa in a form that has the transparency to allow depositors choose the loans seems very interesting.
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This is so much better-worded than what I've anted to do for the last 10 years on the finance front.
Startup banks ought to exist all over the place – localizing money, inducing local investment, etc.
Matt, I desperately tried to start a bank to finance entrepreneurs last year in Arizona with a dozen friends. My vision wasn't that far from yours (go figure) and it would have been great to have you on the web site:-)
The OCC wouldn't give us a charter because of all the other bad banks in Arizona; they wanted us to buy a bad bank instead/ We refused and blew over a million dollars in investment. But I would still like to do it.
1) Matt, I'm with you. Yours is better than a great idea: it is a great way to execute an old idea.
2) When you'll execute your idea, you'll realize that zero risk is short term treasury bonds. This fact will allow you to pay some interests and still be profitable. Money in a safe can be wiped out in a few years of 14% Inflation. Some economist do forecast two digits inflation due to huge liquidity pumped lately into the economy.
3) Why not ask us the money for such venture? Why not a “Google Style” community fund raising? You can raise the risk capital from us and keep risk free Bank deposits. I'll be happy to send you two checks: first one for shares of the start up, second one for my first deposit
You know Matt, I've been in the game a long time…mortgages, equity loans, car loans, investments, etc. etc. etc., and find banks right up there with insurance companies and credit card companies. I even get the once over when I do business at a different branch of my own bank. Recently, I was in Ireland and had trouble with all of my credit and debit cards. I went to a Bank of Ireland branch and a young man took the time to try my credit card in in the ATM and when it didn't work took it to his teller window, asked for identification and handed me five hundred pounds, no fuss/no muss. If I tried that at a bank in the states they would have had me tailed my the dept of homeland security. Our banking system makes it too hard! Jeg er med dig.
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Dear Matt,
I would encourage you to go with bonuses; really.
In fact, they're a really neat trickery, 'invented' to keep overhead (base salaries) as low as possible and extra costs and incentives backed by turnover: we give you $1, but when you make us make $10, you'll get another $1 (we keep the $9, pay you the other one and made $8) .
Thing is, you're facing a perverted industry, with people motivated by their extra $1′s. It's a matter of character when you can reel in the very best of blokes without giving in to perverted bonus-demands (stocks, options, backoff-fees). And you do need boring dudes in a bank; really.
Held og lykke!
Haha, while I agree with Matt's reason, I think this idea is another thing to consider and makes perfect sense to me.
WordPress CU, perfect!
I would love to put my money at the bank you describe! As much as I love WordPress, which is a lot.
I'm not sure if SafeBank is such a great name after all that “banking trouble” lately… but I would sure opt-in for an alternative to PayPall or MoneyBookers.
Just don't forget to place it on a lonely, tax-evading island somewhere in the southern seas… just to be sure you also get a grip on the “big money”.
Genius. When all this craziness started at the end of 2007 and early 2008, I worked on database and website development for a client who had the same vision. Eventually the project couldn't get funded because he couldn't get traditional investors behind the idea. I figured it must have just been a crazy idea. But reading this makes me realize he was just asking the wrong kinds of people.
Your sketch sounds remarkably like Everbank. Privately owned, well-funded, stable, offers foreign currency CD's and investment accounts.
I would like to start a worldwide credit union that also has a lower-fee (for both merchants and customers) brand credit card and does local stuff like microloans in various communities. Large depositors know their deposits are helping the local community, and people who receive microloans are then customers with increasing equity in a community-oriented financial institution. Both win.
There are many local banks that can be had for a comparative song right now. Why not buy an undervalued one out and alter it to fit your goals? Berkshire Hathaway used to make shirts…
To clarify my credit card brand comment, I think there is a ripe opportunity right now to start a new credit card brand and depose the overpriced offerings currently available.
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You say if Goldam Sachs never paid out any bonuses, they would never need government intervention. That's such a ridiculous statement. If Goldman Sachs never paid a bonus, they wouldn't have ANY of the employees they have today. Goldman also did not need a bailout. The treasury department forced them to take the money. They were also one of the firsts if not first to pay it back in full. They are also more profitable today than ever!
I'm just a bit tired of all the Goldman bashing. Someone needs to defend them on the interwebz.
Great idea Matt! I think it'd get a lot of people very fast. You should see the revolution going on down here in Kenya. The mobile phone operator Safaricom launched its M-PESA mobile money service about 2 years ago and now they have about 12 MILLION subscribers — most of them UNBANKABLE by snobby banks.
I can go to thousands of M-PESA agents throughout Kenya and upload money via my mobile phone. I can send money to peeps, pay bills, and buy credit of course.
Boy, the banks are PISSED off.
But Equity Bank (an award winning bank serving low income markets) added an M-PESA button to its 400 ATMs so now lots of peeps can WITHDRAW cash WITHOUT a bank ATM card. They just have to press the button, enter the transaction ID from the M-PESA system, and choose how much of their balance they want to withdraw. Then you get an sms telling u that your balance is now reduced.
All that for a few shillings…waaaaay cheaper than postal wire transfer or Western Union.
Now they're taking it to other parts of East Africa and The West. Kenya is now #1 in the world for mobile money thanks to Safaricom's innovative idea.
Keep brushing…Hidden cost is compliance since 911 all banks are big brothers. Regulation is extensive. Jumping borders you run into currency and capital controls. My partner and I are thinking of applying for a license so we will see which of your ideas will work.
your bank should also provide a payments gateway for your customers… so they could take payments from the web straight into their accounts.
Wouldn't be much need for huge transaction fee's etc. as all the money would be going into the bank anyways.
Simple, useful and very realistic. The world needs more start up entrepreneurs like you. The world needs more minds like you. Sometimes we get so caught up fantasizing about such a huge success only to be carried by these dreams and accomplish unfinished projects whereas you were not afraid to think small, act big.
And here would
“http://www.newyorker.com/reporting/2009/05/11/090511fa_fact_gladwell” apply as well (you linked to it).
Here in South Africa we now bank with http://www.capitec.co.za – mostly relying on technology, low key branches (ATM indoors) and a web interface that got me wondering where the buttons went – as they only use links – sometimes only 2 or 3 on a page. No massive sponsoring (like the 4 other abysmal dinosaurs that 'monopolise' the country.
They are actually so 'David', that the State Telco monopoly doesn't accept payments from them (and can get away with it!)
But yes, often dreamt about the same: how to run my own 'honest bank' – but that might be a contradictio in terminis…
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Negative balances could almost disappear overnight if banks would find a way to send the current balance to not only ATM withdrawals, but everytime someone uses their Debit card for a purchase.
Banks don't want to do this for two reasons (and besides these two reasons they say it is technically not feasible – mostly because they don't WANT to):
(1) They claim people will take the balance literally and not realize that checks or VISA/MC charges may still be pending. This of course is just dumb. Not only do their own user agreements defend against such witless thinking by some dumb user, but they could also (shocking!) print a disclaimer below every balance that says just that: “Balance does not reflect pending checks and Visa/MC charges yet to have cleared”, or better, “Balance may be smaller than it appears”.
(2) And of course, this is really reason #1, the banks don't want to give any kind of warning to users that they may be perilously close to overdrawing their account.
I, like most people, am responsible and check, but we all have that one moment in our year where all heckaroo breaks loose (death in the family, etc) and we don't really check because we think we know. But we don't know that our wife took something out. Or we guess wrong. Or, well, life! Life is for living – not checking balances (iPhones or otherwise).
First bank that does this across all vendors and ATM's wins by loyalty and future business. Hint: It ain't much in $$, but I'll throw in as much free PR to my friends and family as I can. At the least, it shows they care about making OUR lives easier – not theirs.
In England there is no choice.
There needs to be a new breed of bank and financial ideas.
The old five or six banks are boring and rather terrible at customer service.
Great Idea Matt
BankPress I love it!
Opensource banking!
I've heard great things Metro Bank and they've just been given the go ahead here in the UK.
http://news.bbc.co.uk/1/hi/business/8552608.stm
Matt, an amazing post and I only see these things as having to be implemented, slowly but surely perhaps, whether it's you. a company, me or the girl down the street, lets go for it (:
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Found this post when doing some research on disruption in the banking & payments industries, SafeBank reminds me a lot of BankSimple ( http://banksimple.net ), a startup bank that's been getting some press as of late.
Sounds like they're taking a different approach though, and avoiding starting a bank entirely, just partnering with several existing banks for a variety of services and hiding the messy details behind one slick web UI. Interesting idea, though I don't have the expertise to know whether it's really feasible or not… Seems to me that the partner banks would want to maintain their current profit margins and then we're back to square one.
Anyone else with some banking experience care to chime in?
Bank Simple sounds brilliant, perhaps they could get some inspiration from Matt's post.
I'd love my bank to blog, I just think it would show they cared, anyway I'm reading Bank Simple's blog for now https://www.banksimple.net/blog/ great stuff!
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Banks truly need your skills. At present, they face too many attackers and not enough creative thinking to counter the threat.
Meanwhile, their customer service is going down the tubes.
I've found that the banks in 2nd and 3rd world countries usually are more technologically savvy. This is sad.
I really enjoyed reading this whole comments list. UNFORTUNATELY as a retired “good servant” of the Owners Of The World, all of the lovely ideas presented lack one thing:
Money chases money. EVERY time.
The only hope of altering matters is by making the theft of money/lives INDIVIDUALLY too expensive to risk.
Minimum 50 years hard labour, no parole and seizure of all assets – all assets including family.
ELLER
a simple alternative, do not let Banks risk funds outside of their specific declared zones of investment.
Never allow a Bank to invest in markets of any kind directly.
Easy?
No more recessions/depressions ……
Except THAT is where the the big killings are made!
THAT is what they are for, culling the flock…
Forget the money, Matt, the big future is in Bitcoins!,, See, you could convert all your assets to Bitcoins and start a Bitcoin exchange! Seriously, though, if you did start a banking enterprise of some sort, I'd feel safe starting an account with you! I think you have enough “business savy” to pull it off! You know, at the current rate it takes about 300 USD to buy 25 Bitcoins! And absolutely NO backing!