By John Reynolds on Thursday 19 December 2019
Volt was first challenger bank to receive a full banking licence but is not first to market.
Australian digital challenger bank Volt says it has amassed a waiting list of 40,000 potential customers, as it gears up for a public launch in early 2020.
In January this year, Volt became the first Australian digital challenger bank to receive a full banking licence in the country.
Volt is one of a number of digital challenger banks to launch, as competition against traditional Australian banks heats up.
It is expected to launch in Australia in February next year and says it has now started “onboarding” customers.
Steve Weston, CEO and co-founder of Volt (pictured), said: “Banking needs to be done in a better way. Volt’s first product, our savings account, offers a highly competitive rate without any conditions. I challenge other banks to do the same.”
Volt said it was launching with a “highly competitive” 2.15 percent interest rate on its savings account, which it pointed out comes with no strings attached, like the rate being subject to minimum monthly deposits.
“I think there is no reason why banks just can’t get a decent interest rate without making customers jump through hoops," Weston told Business Insider.
“We are taking our time to build every product and feature in a prudent fashion, including by seeing feedback through our co-creation app, Volt Labs,” added Weston.
“What I find troubling is banks saying they are putting customers at the heart of what they do but that isn’t reflected in actual practice.”
Although Volt was the first digital bank to get a full banking licence in Australia, two digital competitors have launched before it into the market: Xinja and 86 400.
But Weston said the move not to be first to market was deliberate.
“We are building a very different bank and doing more than just offering customers a bank account via smartphone," he said.
One reason why Volt has taken its time in launching is to make a formal announcement of its partners, as it looks to looks to emulate the success of Starling and its partnership model.