Major banks are jumping on the buy now, pay later bandwagon
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I've been a puppet, a pauper, poet, a pawn. I've been up, DOWN, over, out. ThatsLife! I don't let it get me DOWN. Gonna change that tune. I picked myself up. Back in the race. If I didn't think law was worth a try - PS4
I'll be talking about how major US banks are really trying to catch up with fintechs in the deferred payments space, according to the Financial Times newspaper.
It’s fascinating how the Buy now, pay later trend is shaking things up. The poor banks can't ignore it anymore.
The banks are concerned that fintechs seem to be taking over their credit card profits. That's understandable then!
Research that reveals that deferred payment loans funded $94 billion last year alone! That’s a huge sum of money they’re losing out on.
Fintechs is making it so much easier for consumers to buy what they want straight away then pay later; interest-free most of the time. What's not to love?
Interesting approach
Savvy banks are now partnering with companies like Klarna and even Apple Pay to offer these services themselves. JPMorgan just hit 900k business clients with their new offerings!
Citi' is getting innovative also! They are now offering deferred payment loans through Apple Pay. What traditional banks do you know that offer this facility?
Well, this trend will definitely have implications for eagle-eye Global Law Firm. You see, it represents literally hundreds of financial institutions who may require guidance entering this market particularly in relation to navigating compliance rules.
There's will also be opportunity to advise start-ups with legal structures around their innovative models while ensuring regulatory adherence.
In other words, this trend will see the law firm maintain its diverse workload; that is, guiding traditional banks as they innovate and supporting new players. Everyone on the team looks forward to pitching this strategy