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What is neo banking?

What is neo banking? – An Introduction

What is neo banking is usually a question asked by many and the definition of neo banking is that it is a digital bank without any physical locations. Neobanking only takes place online, not in person at a particular location.

Many financial service companies appeal to today’s tech-savvy clientele under this broad umbrella. Neobanks are fintech companies that offer digital and mobile-first financial solutions for loans, payments, and money transfers.

Neo banks rely on bank partners to offer services that are covered by bank licenses because they lack their own bank license. There is always a gap between what traditional banks offer and what customers want as the financial environment shifts towards customer experience and their satisfaction. Neobanks attempts to close that gap.

The legacy-based infrastructure of the majority of traditional banks is holding them back. As a result, they fall short when it comes to delivering financial services to help SMEs, such as providing payment gateway, an invoicing software and numerous perspectives of cash management, among other things.
This is where the expertise of neo bank comes in as they have experience of amalgamating technology and artificial intelligence together to offer personalized financial services to customers at minimal cost.

Neo banking agents

Neo banking agents – Their role

The neo banking agents as per the financial experts of FIA Global – a leading business correspondent help their clients in getting credit lines. Neo-banking agents enable leads and connect them with financial institutions as DSAs or direct selling agents, just like independent marketing agents do. So it can be concluded that you as a reader is able to know what neo banking is.

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