TransferWise in talks with 'rip-off' banks over API embed
22 December 2015 | 15042 views | 0
TransferWise may have built its reputation by bashing traditional banks for overcharging customers on currency transfers, but that's not stopping the London-based startup from sleeping with the enemy by embedding its services into their online platforms.
News of the talks with up to 20 banks, comes as the firm inks its first deal with Estonia's LHV to run its service over the bank's mobile app and online banking system.
TransferWise's Estonian co-counders Taavet Hinrikus and Kristo Käärmann see the partnership as a signpost to a future wave of collaboration between banks and disruptive fintech startups.
Says Hinrikus: “This partnership is a significant milestone for the whole financial sector.”
The LHV deal is foundered on the release of the TransferWise API, which can be easily adapted by third party developers and slotted in among other applications.
According to the FT, TransferWise in talks with a number of new challenger banks as well as some of the UK's biggest lenders, branded as 'rip-off artists' by the company in a series of brazen anti-bank advertising stunts over the past two years.