Upsetting the Apple Cart — Are FinTechs a Threat to Banks?

Abstract

Financial technology or FinTech, is a business which mainly uses software to provide financial services to customers, thereby, disrupting the traditional financial landscape, which focuses more on what the banks will offer and less on what the customer wants. FinTechs are affecting the way people think about banking and how they do their banking. They are attracting millennials (born between 1982 and 2004), who are high earning customers prioritising fast, easy, flexible, and inexpensive banking solutions over personal services. Big data companies like Google, Apple, and Facebook are also accessing this market and add an additional dimension to mobile banking.