The title of Australia’s newest bank has changed hands once again, with neobank 86 400 receiving its ADI licence from APRA today.
In June last year 86 400 emerged from stealth mode, announcing its intention to take on the big four banks. Pronounced eighty-six, four hundred, the bank’s name is a reference to the number of seconds in a day.
Now that it has met the same regulatory requirement as those big four banks, 86 400 plans to launch with transaction and savings accounts in a matter of weeks.
The bank, which is built for mobile banking and won’t have any physical branches, says it will use data and analytics to help customers gain a better understanding of their spending and savings habits and take control of the finances.
From launch, 86 400 customers will have access to all the digital pays – Apple Pay, Google Pay, Samsung Pay, as well as FitBit Pay and Garmin Pay – along with a Visa debit card, ATM access and customer support.
“For the last two years, we’ve been busy building a smarter alternative to how Australians bank. Today’s news confirms we’ve passed all of the necessary checks and balances required to call ourselves a bank,” said Robert Bell, CEO of 86 400.
“This has been an incredibly thorough process and we’ve had every element of our business stress-tested to confirm that we are as robust, secure and safe as any bricks-and-mortar bank. The only thing remaining is to bring 86 400 to market, which we’re now very close to doing.”
Anthony Thomson, Chairman of 86 400 and former founder and chair of two successful challenger banks in the UK, said: “From early on, we’ve been incredibly confident that what we’re building will offer Australians a smarter alternative to the Big Four banks.”
“With the latest technology, a simpler operating structure and streamlined systems and processes, we’ll be able to make savings that are passed on to our customers, and better returns for our investors. To get APRA’s approval today is a testament to the incredible work of the 86 400 team over the past two years.”