German fintech unicorn Deposit Solutions has launched in the US, opening a portal that offers banks national reach for their retail deposit products.
The firm claims its platform is the first and only of its kind in the US, enabling banks to easily distribute their retail deposit products beyond their local market to reach savers nationwide without relying on an institutional intermediary.
By managing the whole operational execution of the funding process, including marketing and customer service, Deposit Solutions promises banks a full service solution to gather retail deposits.
With the Fed saying earlier this month that near zero interest rates are likely to be the norm for years, Deposit Solutions says its portal will help people get better rates in the $16 trillion deposit market.
The US launch comes nearly a decade after Deposit Solutions founded its European platform, which now connects more than 150 banks from 20 countries and exceeded the mark of $30 billion transmitted deposits earlier this year.
Peter Thiel, an early Deposit Solutions investor, says: "America has a huge deposit market and a mature deposit brokerage industry. The arrival of Deposit Solutions in the U.S. brings an exciting innovation to this market. Deposit Solutions can do for the deposits business what PayPal did for the payments space."