By Aisling Finn on Monday 21 September 2020
Users of the new multi-currency account will be able to trade in over 80 currencies.
SME financial management and FX payments fintech Neo is today launching a new international multi-currency SME bank account.
The new account will enable finance teams and CFOs to streamline their processes, managing cash flow, payments and currency transfers all in the one place.
Neo, which is available across all European countries including the UK, offers FX swaps and options in up to 80 currencies for hedging and risk management purposes.
Laurent Descout, CEO and founder of Neo, told AltFi: “From the very first day we wanted Neo to be cross-border. One of the biggest problems our clients face is that, even when you have a large company, as soon as you cross the border you can encounter issues.”
“Even in Europe, we have seen that banks don’t always offer the same services from one side of the border to the other, which can become extremely problematic as soon as you want to open a branch subsidiary, you have to completely re-do everything,” he added.
Neo's multi-currency account comes with a fully registered International Bank Account Number (IBAN) and is fully MiFID II and PSD2 compliant.
During the pandemic, Neo increased its customer base three-fold, a jump Descout puts down to the inability of banks to operate remotely: “Certainly, for us, the pandemic has been an opportunity because I think everyone realised there was a need to work differently”.
“Demand for our multi-currency account has increased massively because clients are coming to us simply because they can’t speak to anyone in the banks. Bankers aren’t in their offices, they’ve been struggling to work remotely and they just haven’t been performing at the capacity they need to,” he told AltFi.
As well as offering a fully digital account, Neo’s fees are lower than traditional banks, with the new account charging between 0.05 and 0.25 per cent on average for trading fees, compared to the much higher rates of between one and three per cent at larger banks.
Founded in 2017, Neo has amassed over 100 clients in the past few months alone, 40 per cent of which hail from the UK.