Yobota launches embedded finance for banks to spin out new brands

By Daniel Lanyon on Thursday 29 October 2020

Digital Banking

The company’s core banking platform allows banks to create, launch and manage new brands and maintain a single view of the customer.

Yobota launches embedded finance for banks to spin out new brands
Image source: Ammar Akhtar, Yobota’s Co-founder and CEO

Yobota has launched a new service to help incumbent banks and other financial services companies to launch new brands and products.  

Banking has seen an acceleration of digital disruption in 2020 thanks to the pandemic. In addition, the dominant model of who is best placed to benefit is unclear.  

Starling Bank for example has become the most switched to bank in the second quarter of 2020 suggesting that stand-alone fintech brands are starting to materially take market share from incumbents.  

Embedded Finance, for example, where brands can include financial services seamlessly into products, has started to become a huge growth area.  

Incumbent banks have not fared so well with RBS, for example, scrapping its digital offering Bo last year. 

James King, Co-founder and COO of Yobota, said: “The significance of Yobota’s multi-brand capabilities cannot be underplayed. This is a big moment, not just for our platform, but for the entire banking sector.”  

“Financial institutions can now spin up new brands without the need to invest in duplicating systems, data and processes. Importantly, they can still ensure data integrity in their own single instance with a single view of their customer.”  

Yobota, which was founded in 2016, says banks must respond quickly to evolving customer needs, by launching offerings that target different financial products for different demographics. 

“By bringing down the time to market, complexity and costs, it lowers risk and enables financial services businesses to take a more agile, responsive and brave approach,” Yobota said in a media statement. 

“The ability to run multiple brands on a single platform will also simplify the procurement and regulatory reporting process,” it added.  

Ammar Akhtar (pictured), Yobota’s Co-founder and CEO, says Chetwood Financial is one of Yobota’s clients using the new brand capabilities.  

The digital bank has recently launched the BetterBorrow lending brand to complement their reward loan and savings brands. 

“Businesses like this, which have a progressive approach to using technology, are going to drive change in the financial services industry – they are creating more responsive, customisable, customer-friendly products and experiences. They are leading the way and others will follow suit,” he said.  

Sign up for our newsletters

Your daily 7am download of all things alternative finance and fintech.

Fintech and alternative finance headlines with an exclusive Editor's Note each week. Delivered Monday at midday.

AltFi's new weekly US newsletter breaking down the ins and outs of America's burgeoning fintech sector. Delivered Monday 9am EST/ 6am PST.