Australian neobank Xinja launches card and app
Xinja, which is building its 100% digital neobank in Australia, has unveiled its prepaid travel and spending card and app.
The card is tap-and-go with no ATM fees in the country or overseas. The app allows users to lock the card if it is lost, and is being designed to let users track their spending. The card is being sent out to Xinja’s waitlist.
Xinja CEO and founder Eric Wilson says: “This isn’t a finished product, it’s a step in our journey with our customers. We are delivering a first-base solution that they have asked for, and from here we start adding features and capabilities based on their feedback, requests and ideas.”
According to the bank, prepaid cards have been the launch pad for neobanks in the US and the UK, and it cites its pal Monzo as an example. Jason Bates, Monzo’s co-founder, joined the Xinja board last year.
Wilson adds: “Xinja will build on the app and prepaid card to develop a full suite of banking services for its customers, including home loans, which are coming soon and a transaction account, which should follow in a few months subject to our receiving a licence.”
Beyond that, Xinja is looking to develop a marketplace model, to integrate products into its platform. No timeline on that.
As reported last month, Xinja said it was granted an Australian Credit Licence (ACL) from the Australian Securities and Investments Commission (ASIC).
It has also applied for an Australian Financial Services Licence (AFSL) from ASIC and it has applied to the Australian Prudential Regulation Authority for a banking licence that will allow Xinja to become a Restricted Authorised Deposit-taking Institution (RADI). Those applications are “progressing”.
Xinja has raised over AU$10 million ($7.7 million) so far, with a “substantial portion” of that via Australia’s first crowdfunding.