(28 June 2018 – Australia) A new mobile digital entrant backed by payments company Cuscal called 86400 is set to expand into the Australian market in early 2019, specifically targeting market share from the incumbent Big Four bank majors.
Pronounced ‘eighty-six four hundred’ to reflect the number of seconds in a day, the group announced it was well advanced in attaining a banking licence from APRA to provide transaction banking, deposits and saving accounts.
The group plans to be “technology-led from the start” and focus on mobile phone interactivity. 86400 states that this will significantly lower costs and make the group more competitive given the absence of costly overheads associated with a large branch network and legacy IT systems which burden the Big Four.
Anthony Thomson, founder of two UK “challenger” banks Metro Bank and Atom Bank will chair the start-up planning to become a bank and secure a significant proportion of the Big Four’s A$30 billion in annual profits. New CEO Robert Bell formerly headed up ANZ’s Japan operations.