Laurent Descout

Spanish cash management and FX hedging company Neo has been authorized to offer a multicurrency account for corporates. Neo will now be able to create PSD2 payment institution which will be supervised by the Bank of Spain. This authorization acceptance will allow Neo users to receive, store and pay in 30 currencies.

The Neo account will have an IBAN in the client’s name which will be fully programmable and will have the functionality to offer extended automation capabilities to clients. It will rely on a proprietary Core Banking System developed by Neo Fintech Lab in the UK.

Neo is the first one of its kind European fintech company that offers in a single platform both investment services (ruled by MIFID2) and payment services (ruled by PSD2). The payment services will be working alongside the FX hedging services offered by Neo capital markets.

Laurent Descout, CEO commented, “Our vision back in 2017 was to create a platform that can replace the old-fashioned banking platform. Operating with Neo does not require any complex installation. It is 100% on-demand with the client being in complete control. The platform ensures clients can reduce costs and increase efficiency by reducing manual tasks and improving processes. Our 100% API approach also offers clients great automation possibilities.”

Neo will now be offering services which include virtual multi-currency accounts for international payments and collections, FX hedging solutions and treasury investment. This diversifications in business will allow Neo’s existing clientele to reduce costs and digitalize their treasury department.

All these activities will be supported by the Neo proprietary “Core Banking System,” which will ensure connectivity to clearing systems and the holding of a transactions ledger. Having its own CBS guarantees NEO’s clients will have complete authority over their data.
The Neo multi-currency account will be rolled out in 2020 in 4 countries namely Spain, France, UK and Poland.

by Megha Bhattacharya
Market Analyst at IBS Intelligence