The rise of the Neobanks in the UK

[Jaysen]

In this article, you will learn:

• What is a Neobank?
• How are they challenging traditional banking?
• What problems do Neobanks face?
• How are traditional banks reacting?
• What is the impact on law firms?

The rise of the Neobanks in the UK (by @Oliver Gilliland)

 

[Shane]

This article is great ! I'm currently studying in Beijing and Oliver is completely right in that any payments or transfers of money are all done on we chat. The app is a one stop shop for all your daily needs. You can book a train ticket, arrange a taxi, split a bill and update your social media presence all from one location.

I am having some difficulty understanding how this story would affect the firm I am applying to. I am applying to Clyde and Co, who don't focus on banking, but rather contentious matters involving insurance, international trade, energy and infrastructure. The only connection I could think of is that since the premise of this Neobank would see an increase in clients data online that this could result in an increase in cyber liability claims for the firm to work on. Apart from that ,I don't know what else to discuss.

 

[FreddyS]

This article is great ! I'm currently studying in Beijing and Oliver is completely right in that any payments or transfers of money are all done on we chat. The app is a one stop shop for all your daily needs. You can book a train ticket, arrange a taxi, split a bill and update your social media presence all from one location.

I am having some difficulty understanding how this story would affect the firm I am applying to. I am applying to Clyde and Co, who don't focus on banking, but rather contentious matters involving insurance, international trade, energy and infrastructure. The only connection I could think of is that since the premise of this Neobank would see an increase in clients data online that this could result in an increase in cyber liability claims for the firm to work on. Apart from that ,I don't know what else to discuss.

I have a friend from China who always talks about how WeChat is so much better than Whatsapp!

Were you thinking of writing about this story? If not, I doubt you'd be asked about how this story affects law firms. It seems more of a general one to know.

 

[Shane]

Yeah, I was thinking about maybe writing about it. I found Oliver's article very interesting and I thought the story intersected quite nicely with my own experience in China. Do you think it's a bit too general for the commercial awareness question in the application ?
Honestly, it's my first time ever doing vac scheme applications and I'm not sure where to start with the commercial question.

 

[FreddyS]

Yeah, I was thinking about maybe writing about it. I found Oliver's article very interesting and I thought the story intersected quite nicely with my own experience in China. Do you think it's a bit too general for the commercial awareness question in the application ?
Honestly, it's my first time ever doing vac scheme applications and I'm not sure where to start with the commercial question.

I think it's a great story to use. Unless the question asks you to write about the impact of law firms, I don't think you'd need to mention it in your answer. If it does, you could really take it in any direction you want. e.g. make a broader point about how technology is encouraging new entrants to markets and the impact of this on law firms? So it could mean law firms have new clients (like you said). You could say this is an issue that is also affecting the legal sector, with traditional law firms facing competition from more agile entrants that use technology. And maybe how law firms, just like traditional banks, need to learn to adapt.

 

[Shane]

That's great.Thank you for the great advice !!

 

[bronson]

This article is great ! I'm currently studying in Beijing and Oliver is completely right in that any payments or transfers of money are all done on we chat. The app is a one stop shop for all your daily needs. You can book a train ticket, arrange a taxi, split a bill and update your social media presence all from one location.

I am having some difficulty understanding how this story would affect the firm I am applying to. I am applying to Clyde and Co, who don't focus on banking, but rather contentious matters involving insurance, international trade, energy and infrastructure. The only connection I could think of is that since the premise of this Neobank would see an increase in clients data online that this could result in an increase in cyber liability claims for the firm to work on. Apart from that ,I don't know what else to discuss.

The only way that I could think of that a Neo-Bank might be related to international trade would be by providing loans for financing perhaps. However, not many Neo-Banks actually have a license at the moment so this is more of a future ambition than a matter right now.