Digital Bank Starts 2019 with a Major Milestone

Digital bank Tandem has reached half a million users in January, a year after it started its operations.

Tandem is a UK-based digital challenger bank—a startup financial company that goes up against established banking businesses. Just like any other banks, Tandem profits from its clients’ credit transactions and other financial activities. What sets Tandem apart from traditional banks is that it allows clients to manage funds more easily using a smartphone or a tablet. With Tandem, users also do not need to go through the trouble of visiting a physical bank and waiting in line to make a transaction.

In 2018, Tandem started gaining traction as a popular digital challenger bank after launching its innovative products. In that year, the bank introduced an app that monitors users’ upcoming bills and identifies how much money one can spend. The app also analyzes bills and alerts users when the amount to be paid has increased. In the same year, Tandem introduced its auto-saving feature, which lets users conveniently transfer extra money from other banks.

Now that it is gaining more users, the bank has ambitious plans for the future. This year, it plans to expand to Asia, initially in Hong Kong. There is also the prospect of an initial public offering in a few years, once the company has increased its customers twofold.

On another note, Tandem’s recent milestone shows that more and more customers are becoming attracted to digital banking. One reason behind this shift is the convenience that comes with digital banking products. Other reasons include inadequate innovative products and bad customer service offered by traditional banks.