Google is now stepping into Banking sector – partnership with Citibank

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Google is now entering into the Banking sectors which can be very challenging further and is said to be the most prominent move ever.

We can say, Google will be the new and baby comer to this segment and if it succeeds it can revolutionize the whole sector.

However, Google has a successful run in the payment apps called Google Pay after it’s changed in the name from Tez.

The new Google Cache.

Under the project of the banking sector, Google is coming to offer current accounts with a project name of Cache.

The project and plans reported first by the Wall Street Journal and it has codenamed Cache.

A Google spokesperson shared further more details by saying…

“We’re exploring how we can partner with banks and credit unions in the US to offer smart checking accounts through Google Pay, helping their customers benefit from useful insights and budgeting tools while keeping their money in an FDIC or NCUA-insured account. We look forward to sharing more details in the coming months.”

Google’s Financial Background

It’s not for the first time that Google is entering a financial space.

  • In, 2011 Google first launched Google wallet and later in 2016 it changed to Wallet card. At last, Google landed on Google Pay.
  • It also ran a comparison site in which it compares auto insurance and credit cards and later needs to take it down due to poor performance.

Google hands with CITI bank

It is solely not possible to stand out for any tech giant in the financial space without any partnership.

For its Cache Project, Google is in partnership with Citigroup and Stanford Federal Credit Union.

In terms of a Functionality basis, Google Pay will be the basic foundation of the project and all the features will be integrated into the application.

In a statement, Google shared: ” We believe our partners’ regulatory and financial know-how is a great complement to our experience in building helpful tools and technology for our users.”

The company also told us that they are still working on service fees that will be included with the current accounts.

To really stand out, Google will need to incorporate features that stand out and encourage direct deposits.

Due to intense competition, Google cannot build more audience just by launching any new service.

Does it affect our privacy

Citigroup released in its statement that, privacy and transparency are, and will continue to be critical priorities”.

Features and functionality that will come up to Google Pay via cache need to be determined, said by Citigroup spokesperson.

However, there will be a major advantage for Citigroup to work with Google as they will gain a customer for each new consumer Google can get from its offerings.