Pocopay, a mobile banking service aiming to take on Europe's high street giants, has launched in the Netherlands, Spain and its home market of Estonia.
A payment institution, rather than a fully licensed bank, Pocopay does not take deposits or offer loans, but the start up is promising to provide a host of other mobile-based services.
For a flat monthly fee of EUR2.90, users get a contactless MasterCard debit card, and an account with an Iban where they can manage their money, viewing their past and future transactions, through an iOS or Android app. The app also lets customers send funds with just a QR code or the recipient's mobile number or email address, as well as request and accept funds for bill splits.
The startup plans to arrive in more countries soon and makes much of its borderless nature, with transactions between users in different states instantaneous.
Led by Indrek Neivelt, a former CEO of Hansabank Group and chairman of Bank Saint-Petersburg, Pocopay has a 50-strong staff of bankers, techies and designers.
Says a blog: "We are bankers who believe that people don't necessarily need banks but people still need banking. We are also designers and engineers who believe that there is no excuse for complicating everyday things with an out-dated design. Bringing together the old and the new, inspiration from the young and lessons from experienced bankers, we have built Pocopay."