Google to team up with two banks to offer smart checking accounts
By Nikita Chaurasia  Date: 2019-11-14

Google to team up with two banks to offer smart checking accounts
  • The project is the extension of the digital payment system, Google Pay
     
  • It is an attempt to focus on tech-focused alternative for traditional banking

Google plans to partner with two banks, the Stanford Federal Credit Union and Citigroup to start offering customers a feature called smart checking account by next year.

Craig Ewer, a Google spokesperson stated that the project has been codenamed Cache and considered as an extension of the popular digital payments system, Google Pay. The company will focus on the mobile-first users initially, the specifics regarding what it will offer, however, is still being worked upon.

The banks have come to the realization that the digitally inclined millennials have a similar core banking need as the generation that favored brick and mortar to stash their cash and retrieve it easily. There have been several attempts to create a digitally focused alternative compared to traditional banking, but it usually resulted in either gaining a niche audience or dwindling entirely. 

Customers have plenty of complaints from their banks associated with paltry interest rates, poor service and high fees. Moreover, banks have been offering all the tech-focused features like card-free transactions, in-app budgeting assistance and fast peer-to-peer payments as demanded by the users.

Technology companies are required to provide new ideas to encourage consumers to opt for their advanced features. Senior Analyst at Aite Group, Thad Peterson commented that numerous efforts had failed to make an impact due to the lack of revolutionary ideas. 

With Google helping the Stanford Federal Credit Union to develop the user interface as well as the credit union handling every function of banking, the bank plans to provide co-branded accounts. The representatives of Citigroup have not yet responded to the questions regarding the details of their product plans. 

Google aims to expand the use of its wallet app and wants to deepen its ties to sectors that use its technology already. Other details regarding the new project will be revealed when close to the launch.

 

Source Credit- https://www.nytimes.com/2019/11/13/business/google-banking-checking-account.html

 

About Author

Nikita Chaurasia    

Nikita Chaurasia

An accomplished professional in the field of content development, playing with words comes naturally to Nikita Chaurasia. After completing her post-graduate MBA degree in Advertising and PR, Nikita worked across numerous content-driven verticals, undertaking diverse r...

Read More

More News By Nikita Chaurasia

New York planning on direct purchase of Pfizer’s COVID-19 vaccines
New York planning on direct purchase of Pfizer’s COVID-19 vaccines
By Nikita Chaurasia

In recent developments, Governor of New York, Andrew Cuomo has reportedly issued a letter to the CEO of American drug maker Pfizer Inc., Albert Bourla, requesting for direct purchase of COVID-19 vaccine doses. Although the company is not bound to any...

Mayo Clinic Laboratories forms alliance with American Hospital Dubai
Mayo Clinic Laboratories forms alliance with American Hospital Dubai
By Nikita Chaurasia

In recent developments, Minnesota-based Mayo Clinic Laboratories and American Hospital Dubai are reportedly planning on entering a strategic alliance which is aimed at enhancing advanced laboratory diagnostic services in Dubai. Under the terms of th...

LTI, IBM extend global partnership to spearhead digital transformation
LTI, IBM extend global partnership to spearhead digital transformation
By Nikita Chaurasia

The New York-headquartered IBM Corp., with its global partner Larsen Toubro Infotech, an Indian global IT solutions & services company, are planning to extend their multi-year partnership, in a bid to enable companies to revolutionize the busines...

Algae cultivator Qualitas Health raises USD 10 million in funding round
Algae cultivator Qualitas Health raises USD 10 million in funding round
By Nikita Chaurasia

In recent developments, privately held food and nutrition company Qualitas Health Inc. has reportedly secured USD 10 million in venture funds, as it looks to broaden the reach of its plant-based protein and omega-3 business. The company was appraised...

China touts plans of launching national ETS to attain carbon neutrality
China touts plans of launching national ETS to attain carbon neutrality
By Nikita Chaurasia

According to reliable sources, the Chinese government is expected to launch the much anticipated national emission trade scheme (ETS) by mid-2021 as a part of the country’s efforts of achieving carbon-neutrality by the year 2060, through market...