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Marriage of Convenience- Business News


Marriage of Convenience
From disrupters to partners, the Fintech-bank relationship has come a long way. What is the next level of this partnership?
Illustration by Raj Verma
A decade ago, the entry of Fintechs in the fast-growing financial services space was a shocker for traditional banks. Bankers were worried that at some stage in the future, Fintechs would eat their lunch. Be it payments, software as a service, or lending, the new age start-ups in the financial services space went all out with innovative models in underbanked and unbanked areas to woo customers. But banks, too, followed with their digitisation drives, pushing Fintechs back. Regulators also stepped in to fill the gaps and encourage innovations. For instance, the Unified Payment Interface-based platform hit mobile wallet players hard. On the other side, the entry of Techfins such as Google Pay, Amazon Pay and WhatsApp started changing the rules of the games. While the tug of war still continues, the j ....

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