A company called ThinkBanking is offering no-thrills bank accounts to residence of the UK under the brand Thinkmoney. These bank accounts can be opened with little hassle, no credit check and with no penalty fees. Royal Bank of Scotland provides the deposit taking license and the associated debit card is issued by the Newcastle Building Society. This means that Banking (the company), can focus on distribution and client service. I am not sure how popular the service is, but am convinced that a need exists for a different kind of bank account, even in a mature market like England. Access to the account is provided via the Internet, but not via mobile as far as I could ascertain.A number of lessons for transformational banking in emerging markets can be taken from this initiative:
- It is possible to design and deploy a banking product without holding a banking license, by making use of other banks regulatory compliance.
- New generation banking is about service, banking features, distribution and branding. It is important to think out of the box when offering new types of banking services.
- Bank accounts can be opened legally with very little hassles and even remotely (I am not sure if Thinkmoney does this). Much of the red-tape associated with opening bank accounts with mainstream banks are not required legally.
