Relief money has been pouring in from a lot of directions amid the COVID-19 pandemic—from government stimulus packages to loans and donations from larger companies. One problem that has been highlighted amid all this transfer of funds is the inefficiency of delivery. Companies that have been primarily digital, however, have been capable of expediting this process.
Current is "focused on banking 'essential workers' living paycheck-to-paycheck." The service issues account and routing numbers instantly to those who sign up. In the month of April, it received stimulus checks for some of its 10,000 users and it was able to make those funds available to them almost instantaneously. The estimation is that its service is "up to two days faster than a traditional bank."
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Why This Trend Is Growing
- Digital Banking
- Digital banking platforms like Current are streamlining the delivery of relief money, providing faster access for users.
- Instant Account Setup
- Services like Current are offering instant account and routing number issuance, eliminating the need for physical paperwork and lengthy processing times.
- Efficient Fund Availability
- Companies focusing on efficiency, like Current, are able to make funds available to users almost instantaneously, reducing wait times.
Industries Being Reshaped
- Fintech
- Fintech companies are innovating in the delivery of relief money with their digital banking platforms and instant account setup processes.
- Banking
- Traditional banks can use the disruptive innovation opportunities in the digital banking sector to improve the speed and efficiency of their services.
- Government Services
- Government agencies can explore partnerships with digital banking platforms to leverage their efficient fund availability systems for the distribution of relief funds.
