The news: Banking customers have shown a growing interest in personal financial management (PFM) tools, and banking leaders understand these tools’ importance in retaining Gen Z customers. But many of the fintechs that offer these tools are struggling financially. And that may impact how traditional financial institutions (FIs) offer these tools, per PYMNTS.
- Canadian PFM fintech Hardbacon has closed its doors, and recently acquired US neobank PrizePool is turning off its consumer app.
How we got here: This trend is ongoing, but reached an inflection point when Mint shut down its app, citing an inability to make enough money, per The Cut. Many factors are creating a challenging environment for these apps: