Banking on longer-term pay-offs
Discovery* has announced details of its “behavioural” bank to be launched next year. The idea is that, much like Vitality helps improve the fitness of subscribers, the same can be done with our financial “fitness”. Certainly, this has worked with exercise, but I suspect it may be harder with financial matters. I suspect that the people who sign up for the new bank will be those already in decent financial shape, which defeats the purpose. Further, this will be a transaction bank only, no credit on offer – so you’ll need a second bank if you want any credit. I like the concept and in time we’ll see whether it pays off. Adrian Gore has stated that it takes some five years to get a new product up to scale, so we’ll only really start seeing results in a number of years.