Banking as a platform - Glossary

Banking as a platform (BaaP) is the evolution of traditional banking into a more flexible and customer-centric service model. Imagine your bank not just as a place to store money but as an open marketplace where financial services from various providers are seamlessly integrated and available at your fingertips. This model allows banks to offer personalized financial solutions by collaborating with fintech companies all within a unified digital interface. For example consider how a traditional bank app might expand to include innovative budgeting tools investment tracking and loan offers from other financial institutions all curated to serve the unique needs of each user. By doing so banks can offer a richer and more varied experience akin to how tech giants like Apple and Google provide a range of services through their platforms. This fusion of services is transforming banking into a more agile and responsive industry all aimed at enhancing customer experience and engagement.