French mobile payments app Lydia has revealed bold plans to launch a new mobile banking proposition and plunge €100m into the offering.
According to Finextra, the firm plans to inject the capital into the solution and hire 400 staff over the next three years.
Having evolved into an e-money institution, Lydia currently serves over eight million users with a comprehensive suite of financial services alongside its payments app.
The company is restructuring its offerings, with the payments app transitioning into a streamlined P2P platform for swift transfers between friends and contacts.
Meanwhile, the banking segment will be established as a separate entity named Sumeria, which will provide an array of financial products including current accounts, joint accounts, savings, credit, and investments, complemented by a dedicated Iban and Visa debit card.
This strategic shift aims to cater to different user preferences, ensuring that those seeking a straightforward P2P payments experience are not overwhelmed by additional banking features.
Sumeria has ambitious growth targets, aiming to onboard 5m customers within the next three years.
In an effort to offer a more personalised banking experience, Lydia plans to establish a physical bank branch in Paris, drawing inspiration from the Apple Store’s Genius Bar concept.
This physical presence will provide hands-on assistance and guidance to individuals interested in opening an account.
