86 400 was granted a full license by APRA in July and was the first neobank to skip the ADI restricted route and obtain the full license directly.
Today, less than two months after obtaining its license, the neobank has launched its “Pay” and “Save” accounts and its app is already ready to take advantage of the upcoming open banking regime.
The app allows customers to connect all of their financial accounts, allowing them to have a read-only overview of a consumer’s entire financial landscape on a single app. This includes credit cards and home loans.
“Managing your money shouldn’t be that difficult, but the simple fact is that staying on top of your finances has become too complex, leaving many Australians anxious, stressed and frustrated. Today we launched a bank that uses smart technology to show customers what’s really happening with their money, so they feel in control every second of every day. All eighty-six four hundred,” said 86400 general manager Robert Bell.
86 400 also uses its neobank status to offer its customers a better interest rate. Savers will be able to earn 2.50 per cent per annum, made up of a base rate of 0.40 per cent and a bonus rate of 2.10 per cent.
The rate of 2.50 is significantly better than the big four, the most comparable being NAB with a rate of 2.11 per cent and is only beaten by a few other accounts like AMP and Macquarie.
However, most of these maximum variable rates rely on consumers not touching their money, while 86,400 allows customers to access their money and as long as $1,000 is deposited each month they have access at the bonus rate.
“We want to make sure we’re designing the right things and we’re designing them correctly and we want to continue to strengthen and simplify the financial world for customers and really strengthen that proposition,” he said.
Mr Guderjahn said the bank had deliberately tested its products over the past year and used customer feedback.
“We really try to understand customer pain points, rather than just designing things and presenting them, which has led us to include features like connected accounts and upcoming features,” he said .
The first iteration of the accounts also includes standard banking features like Apple and Google Pay as well as Osko Instant Payments.
