T2 Money changers T2 Money changers “We face an inevitable world of instant, There are echoes here of what we’ve already seen in telco – invisible and free payments, which spells where customer relationships switched from telco service providers to smartphone-makers–and in energy – where a similar trouble for banks that don’t want to be relationship transfer has favored smart thermostats such as Nest or aggregators like the UK’s Flipper. When it comes to relegated to the plumbing of payments.” money, people think less about their bank than payment — Gareth Wilson, head of Accenture’s global payments team providers like Apple Pay or Google Pay for security and ease, TransferWise or Revolut for international currency transfer, or a social platform where their friends are. “We face an inevitable world of instant, invisible and free payments, which spells trouble for banks that don’t want to be relegated to the plumbing of payments,” says Gareth Wilson, head of Accenture’s global payments team. Today, it’s easier than ever for non-financial companies to play a financial role in their customers’ lives. M-Pesa is a telecom-based banking service for the unbanked developed in Kenya, now being used from Albania to Afghanistan, and is one of a host of new, non-traditional banking services. Customers top up their balances at a corner store, protect it with a pin, and make payments to anyone set up to receive them – all without a bank account, just a cell phone and a contract with their telecom service provider. Apple Card is a new kind of credit card with accompanying software that connects to an iPhone user’s Wallet app and can pop up as a default option whenever they use Apple Pay. Its features help people better monitor their finances, enhance the Apple Pay experience and embed people more deeply into the Apple brand so it’s less tempting/more difficult to switch to a competing smartphone provider. UK-based Monzo and Australia’s Xinja and 86400 are a new breed of neobank innovating ways to help customers better manage their money – and they’re growing, fast. Monese enables people to open GBP and EUR accounts as one, using their mobile without any need for proof of address, and Sweden’s Klarna allows people to buy now, pay later. Others are exploring the future of new digital currencies. In west Africa, 15 countries recently agreed to adopt a single Monese invites people to open cryptocurrency, called Eco, in 2020. In China, the government a GBP/EUR account using plans to launch its own, state-backed cryptocurrency their mobile in minutes, without next year. Meanwhile, Facebook is working on its own global needing credit checks or proof of address. cryptocurrency, Libra, and just announced Facebook Pay. 25 26