Hong Kong-based digital bank ZA Bank has introduced “Salary FastPass,” which is an interest-free early payday option in Asia that lets people access their monthly salary up to 7 days in advance.
ZA Bank‘s management noted that the Salary FastPass option aims to give employees a say in their salary and allows them take back control of their finances.
Clients may fill out the application for the advance pay option via the ZA Bank app, without having to change their payroll bank account details.
Salary FastPass is currently open for applications to a select group of clients who are able to apply for the product after they get an invitation from ZA Bank.
Beginning on August 17, 2021, existing and new users may register to enter the waitlist via the official website or the ZA Bank App.
Rockson Hsu, CEO at ZA Bank, stated:
“Some traditional payroll bank accounts are still featuring higher deposit rates or fee waivers, which may not be well-received by employees. Therefore we decided to be the ‘Game Changer’ for all Hong Kong workers by creating the first interest-free early payday product in Asia, making every penny earned count. With ‘Salary FastPass’, we seek to revitalise the traditional mindset of Hong Kong’s financial services sector and set the next trend.”
As covered in May 2021, ZA Bank and Mox were leading Hong Kong’s digital bank market, accounting for around 70% of all virtual banking customer deposits (as of the end of last year). This, according to a report from Reuters that referenced annual reports from banks in the city.
Hong Kong’s eight virtual banks had managed to accumulate total customer deposits of HKD 15.8 billion (appr. $2.03 billion) by the end of 2020. ZA Bank, which is run by a division of online-only insurance company ZhongAn, reported deposits of HKD 6.04 billion (appr. $780 million).
This figure represents a 39% market share, meanwhile, Standard Chartered-backed Mox Bank received a total of HKD 5.2 billion (appr. $670 million) in deposits, which is about 33% of the total market.
Consultancy firm Quinlan and Associates had noted that within the next 4 years, as much as HKD 76 billion in revenue might be an achievable target for Hong Kong’s digital banks. They may potentially be holding an aggregate revenue market share in the larger banking industry of almost 20%, and might also be serving around 1.9 million clients, or nearly 25% of the city’s resident, Quinlan has projected.