The term challenger bank is used most often in Europe, where startups—with a heavy concentration in the U.K.—are vying for mobile-first consumers and more than 138 million consumers without formal banking relationships, according to Mastercard research.
In July one such challenger, Revolut, announced a $66 million funding round, which it’s promising to use to go global. Revolut is eyeing North America as one of its first stops, where it will go up against the likes of GoBank and Moven and a host of newer entrants.
The question is who will be victorious in the battle for mobile banking customers?
Although we are using the term “challenger bank”, we aren’t picky about whether or not a company has a banking license, which requires much heavier lifting in markets like the U.S. We’re more concerned about whether the companies have a legitimate shot at displacing traditional banks or supporting customers that have been left out of financial services.
Voting ended on Aug. 1. Thanks to all who participated!
Our Top 5 Best Challenger Banks, which will be profiled on Paybefore.com, are:
- Varo Money
- Capital on Tap
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Past profile series include:
Image Credits: Shutterstock/Zemler