What is the moat of Chime bank

Amazon
MzaK82

Go to company page Amazon

MzaK82
Jan 23, 2021 6 Comments

What is the real moat of Chime bank. I get that app banking is perceived to be cool, but i get the same experience from my BofA/chase app too. I hardly had to walk into bank office in last few years.

I understand they have got some overdraft fee discounts or earlier paycheck deposit by 2 days, and they seem they can be copied by competition.

What justifies their insane valuation.

#fintech #banking

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TOP 6 Comments
  • Chime
    Dhrg12a

    Go to company page Chime

    Dhrg12a
    It's a fair question. I'd say most of us here on Blind are not in the target customer segments (we have plenty of savings and don't have to worry about money). No fee, early payday and SpotMe are definitely very useful features that get people to try Chime. Even though other fintech startups have started copying many of the features, many don't have a very well defined target segment and don't provide all features for that segment. Plus, the market is huge given a lot of people still bank with the big banks that don't server them well.
    Jan 26, 2021 3
    • Chime
      Dhrg12a

      Go to company page Chime

      Dhrg12a
      The mood is definitely good. Most people are quite excited about Chime and what they are working on.

      Executives and everyone in the company recognizes these issues and we are working hard to fix them. This includes
      - Lot of investment in improving resilience and ensuring that the app and card transactions don't go down.
      - Improving member experience and CSAT. Lot of projects in this area over 2021. Not sure how much I can share publicly. :-)

      Overall, I'd say reddit threads might be little biased and twitter or play store reviews might be less biased. In any case, this is definitely an area everyone acknowledges we can do more on and have lot of projects going on this year to make big improvements.
      Jan 26, 2021
    • Chime
      bLmm30

      Go to company page Chime

      bLmm30
      Couldn’t have answered this any better! Hyper focused on that target segment is the key. I was going to respond but Dhrg12a great answer in and out. 🙌🏼
      Jan 27, 2021
  • I've been wondering too. There seem to be so many apps doing the same thing they do. Like the earlier paycheck deposit or the spot me thing
    Jan 23, 2021 1