Germany’s cooperative Bank, DZ Bank, has launched a smartphone account especially for refugees.
Called Yomo, the recently launched app is still in beta phase and is an effort by the savings banks behind it to reach a new younger target market. It is also a response to the much hyped Berlin Fintech, N26, which has more than 300,000 customers for its app in just two years.
This summer, the app will be launched in cooperation with the Wirecard Bank and specifically target refugees. In just a few minutes, users will be able to open an account via Video-Ident. The account is equipped with a prepaid Mastercard and allows, for example, P2P transfers and therefore fast money transfers between friends.
Does this represent competition for Berlin’s N26?
“We are now concentrating on migrants and seasonal workers as a target group. We have not yet focused on young people,” says Jörg Hübner, member of the board of the Reisebank.
But: “In the test phase, we will also test the extent to which the cooperative banks can pass on our customers.”
Should the smartphone offer be a success the offer will be extended to the Volksbank and Raiffeisenbank. The fight for the young customers will continue to heat up between the new players and commercial banks such as Comdirect and the savings banks.