Digital bank Neo has received regulatory approval from the Bank of Spain to launch a corporate multi-currency account. According to a release from the company, Neo will now create a PSD2 payment institution which will be supervised by the Bank of Spain.
The Barcelona-based company, with development labs in London and Cambridge, aims to re-invent corporate banking from the ground up.
Neo explains that it will allow account holders to receive, store and pay out in approximately 30 different currencies. The Neo account will include an IBAN in the client’s name, and will be fully programmable in order to offer extended automation capabilities to clients.
The company said it will rely on a “proprietary Core Banking System developed by Neo Fintech Lab in the UK.”
The payment services will run alongside the FX hedging services already offered by Neo Capital Markets. Clients will be able to hedge over 90 currencies and receive/make payments in 30+ currencies form a single place.
Neo’s services currently include virtual multi-currency accounts for international payments and collections, FX hedging solutions and treasury investment. The platform claims to allow clients to reduce costs, but also to enable users to digitalize their treasury department and automate tasks.
Laurent Descout, CEO of Neo, stated:
“Our vision back in 2017 was to create a platform that can replace the old fashioned banking platform. A true “One-stop shop” that offers all the financial products a corporate client needs to operate in a global environment. Operating with Neo does not require any complex installation. It is 100% on demand with the client being in complete control. The platform ensures clients can reduce costs and increase efficiency by reducing manual tasks and improving processes. Our 100% API approach also offers clients great automation possibilities.”
The Neo multi-currency account will be available starting in 2020 in Spain, France, UK, and Poland.
The Neo Group was created in 2017 by Descout, Emmanuel Anton, Nuria Molet, Ian Yates, Mathias Ifergan and Matthew Pilling. Neo seeks to create a “single one-stop shop” for the full scope of corporate banking services.
In late 2018, Neo announced a €5 million funding round to launch its multi-currency corporate account.