ANZ, CBA, NAB, Westpac scramble to test tech. “We have many systems that cannot handle negative interest rates… There’s just no scope…
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“Every single one of us went through grief, anger, denial, sorrow, humility”.“I remember the day in August… August 17 of 2018. Matt…
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As per the news article recently posted, the Fintech100 report is available in pdf format and can be downloaded from https://h2.vc/f100/
A massive software purge at the National Australia Bank has gouged almost $500 million from the institution’s pre-tax earnings after it ramped up its cloud-driven transformation to force down expenses to compensate for $1 billion in customer remediation charges.
Commonwealth Bank chief executive Matt Comyn has predicted competition in banking will intensify as a wave of new players enter the sector and technological advances make pricing more transparent for customers. Amid a new probe into banks’ market power and how lenders treat long-standing mortgage customers, Mr Comyn also encouraged CBA customers who think their interest rate is too high to contact the lender.
Just when the banking sector thought the worst was over following the Royal Commission, the industry looks set to come under the spotlight again. Not only has the Federal Treasurer asked the ACCC to investigate the failure of banks to pass on rate cuts to borrowers, but they are also facing the prospect of further scrutiny from the boss of the competition regulator, Rod Sims ,as he presses the government to support his calls for an inquiry into the barriers to entry imposed by the “big 4” in retail banking.
Forget the buzzword “banking-as-a-service”. And forget all the other agile-cum-fintech claptrap that’s now de rigueur window dressing for any major institution’s results presentation to placate customers and investors supposedly ravenous for transformation. On Monday Westpac bought itself, for wont of a better description, a ground floor stake in an emerging platform that will finally allow it to crawl out of a swamp of chronic dependency on decades-old monolithic core platforms that have long impeded modernisation.
Ramps up preparations for new regime. ANZ Banking Group has ramped up its open banking preparations by running a three-day innovation challenge that generated 21 new apps ideas. The bank held an ‘Innovation Challenge on Open Banking’ through last week, bringing together around 125 staff from across the institution to come up with new digital experiences built in Google cloud.
Commonwealth Bank of Australia (CBA) has restated its plan to invest more than $5 billion mostly on technology over the next five years, to maintain its leadership position in digital banking.
The bank today also announced an investment in a ‘buy now, pay later’ fintech, and detailed efforts to fend off the threat of neobanks through improved digital offerings.