There is potential for high synergy between SFBs and fintechs, since they operate in the space of financial inclusion. The SFBs by virtue of a licence to run a bank have access to retail deposits which usually are a cheaper source of funds
A new proposal for U.S. consumers may simplify moving financial data among service providers. The proposal aims to create competition between fintech and traditional bank sectors. CFPB Director Rohit Chopra believes the proposal would enable consumers to switch providers easily. Open banking could promote expansion in payments, investment, lending, financing, and savings industries. The U.S. is lagging behind European countries and Britain in implementing open banking regulations.
The proliferation of Fintech services has generated electronic waste, including discarded mobile phones and outdated hardware, which poses environmental hazards
The digital lending sector in India is experiencing an inflection point after years of challenges. Industry-level NPAs are decreasing, credit demand is increasing, and investors are showing interest in the sector again. Fintechs have dominated the unsecured lending space, with the market share of fintech lenders in the personal loans sector increasing from 13% in 2018 to 47% in 2023.