Webinar: complementary revenue from third-party FX Payments

Innovative third-party offerings are shaking up the foreign remittance market. Traditional banks tend to view them exclusively as competitors. Banks that integrate innovative offerings such as those of industry leader Wise into their own product portfolios not only improve customer loyalty, but can also generate additional revenue through intermediation fees without any risk to themselves.

In a globalized world, the demand for transfers in foreign currencies is steadily increasing. On the one hand, this is a traditional and lucrative core business for banks. On the other hand, the number of foreign transfers processed via fintechs, both in retail banking and in corporate business, is growing rapidly. For example, pioneer Wise (formerly known as Transferwise) sends more than six billion U.S. dollars a month for more than 10 million customers. According to own statements the fintech helps its customers save about $1.5 billion in bank fees. A clear attack on a lucrative business segment of the banks. The company goes even further: the Wise account allows its users to manage money in more than 55 currencies and additionally receive global payments via a debit card. Wise has not only successfully served a market need with its offerings, but its solutions have created a market that fits perfectly into the new, global world of financial ecosystems. As a leading provider of open finance platform solutions, ndgit understands the need for digital economy companies to integrate these services into their own portfolios and thus tap into the world of financial services to support their core business. But external financial services such as foreign remittances also open up new business areas and revenues for banks. By integrating the services of external providers into their product portfolio, they can secure their share of this promising segment through commissions and prevent their customers from migrating to fintechs – and without having to bear the operational work or financial risk themselves. ndgit’s scalable open-finance platform makes it possible to integrate offerings like Wise’s via an ecosystem and, in a further expansion stage, even combine them easily and quickly with the offerings of other innovative fintechs. In the coming years, more and more such ecosystems will emerge, benefiting most the companies, whether banks or digital companies, that proactively drive their respective ecosystems and expand them according to their needs.

ndgit specializes in technologies and solutions that form the backbone of ecosystems. The flexible, modular open financial platform with defined data formats goes far beyond the standards of PSD2 and Berlin Group and opens up the service portfolio of banks to products and solutions from innovative third-party providers with minimal effort. Conversely, this opens up the opportunity for banks to increase sales of their core products via new digital channels such as platforms for e-commerce or mobility. Simple and efficient FX payments are a good example of this.

Learn more in our webinar with Wise FX Payments in Ecosystems on 08.04.2021, 10 a.m. CET.

With Kerstin Gottelt, Product Manager for Fintech Products at ndgit and Jane McEvoy, Head of Wise for Banks for the UK and Europe. Jane McEvoy is responsible for Wise’s partner management of banks using a unique API-driven solution. She previously worked for Capgemini Consulting and Starling Bank.