Interest rates have risen for the 12th consecutive time in the UK since December 2021.

In the battle against inflation, the traditional banking system is trying to dampen its effects. And whilst they do so, digital banking platform Black Banx may be the hero customers are looking for within the unstable financial climate. With a revenue of over $1.1bn as of December 2022, Black Banx has stepped up its game, with CEO Michael Gastauer offering a non-discriminatory banking service, refusing to turn away prospective customers based on funds or where they reside in the world. Its additional mission to provide financial literacy has led Britons to seek the company out. 

Bank of England governor, Andrew Bailey, in a press conference said: “Let me be clear, inflation remains too high. We have to stay the course to make sure inflation falls all the way back to the 2% target.” Inflation has notably hit British households, especially when looking at substantial food costs and a general increase in the cost of living. 

Will interest rates affect you? There are a number of ways interest rates can affect consumers. The most impacted will be those with mortgages, credit cards, loans and savings.

According to the government’s English Housing Survey, just under a third of households have a mortgage. Monthly repayments are set to rise following the 0.25% rise in interest rates. Whilst not expected to be a dramatic jump for homeowners, it comes after years of low interest rates during the Covid-19 pandemic. According to the Financial Conduct Authority (FCA), around 356,000 borrowers could face difficulty with repayments by July next year. The increased interest rates will see those on a standard variable mortgage pay an extra £15 a month and those on tracker mortgages pay an extra £24 a month. 

Interest rates will also affect those who have taken out credit cards and loans. Unsecured personal loan customers may be able to escape the wrath of rising rates as they’re typically on a fixed rate. However, interest rates on credit cards are expected to get higher, meaning customers will be paying back more each month. 

Savers are to get a higher return on their money due to increased rates, however, banks are failing to provide accounts with rates high enough to match rising prices. 

Who are Black Banx and what can they do? Black Banx is a fintech service offering debit accounts to individuals and businesses. The bank may not be able to provide customers with credit options, but it can educate and shelter customers during a financial crisis. 

When approached for a comment, founder Michael Gastauer said, “I’ve always wanted Black Banx to be a bank that people can come to when they don’t feel like they have anywhere else to go. We accept people from all walks of life, crypto users, the wealthy, underbanked and those looking for a borderless approach. With our systems, teams and operating market, customers can count on us to keep money safe and flowing worldwide. We offer users access to budget tracking, a debit card that can be used globally and financial advice through our expert customer service team.”

Is Black Banx safe? Being a completely digital bank, Black Banx often gets prospective customers who are worried surrounding the security of their money. Although concerns are understandable, especially for those who are slowly transitioning into the digital age, Black Banx assures customers that their funds are protected using industry leading security tools and a global diversification concept. 

By developing strong relationships with leading financial institutions worldwide, Black Banx have made sure that client money is never held solely in one country. Segregated accounts are kept in top banks in various countries. As a result, customer funds are protected by multiple jurisdictions by being globally distributed. 

For those feeling the financial crunch and looking to diversify their funds, Black Banx is a top choice. Switching banks has recently become a trend in the US, and one that may be about to take off in the UK. Americans reported that they no longer wanted all of their money sitting in one place, especially after the bank run on Silicon Valley Bank and rising interest rates. JP Morgan recently told investors that deposits had fallen around 8% compared to 2022. According to a survey from JD Power, around 30% of American bank customers moved money from their primary account to another bank in March. 

With the UK likely to follow this pattern, Black Banx is welcoming new customers. Clients looking to transfer funds can sign up to Black Banx almost instantly, with only a form of photo identification needed. With 28 currencies and two cryptocurrencies available, and a range of other features, Black Banx is a top choice when searching for a new bank amid financial turmoil.

Digital banking has been rapidly transforming the financial industry in recent years, and bringing significant benefits to consumers and how they grow their wealth.

With the advancement of associated technologies, digital banking continues to become increasingly popular as it offers consumers greater convenience, accessibility, and flexibility.

Now, while a common assumption is that digital banking is simply the digitalization of traditional banking, it is actually an entirely independent segment of finance that empowers consumers to better grow their wealth.

Convenience and accessibility

Among the basic advantages most digital banking platforms offer is how it enables customers to access their accounts anytime, anywhere, and on any device. 

By eliminating the need to visit a physical branch and reducing the hassle of waiting in line, customers save time while carrying out a range of banking activities such as transferring funds, paying bills, checking balances, and even opening accounts with just a few taps or clicks. 

This degree of convenience and accessibility make it easier for customers to manage their finances and stay on top of their transactions, and even more so when it can be done across different countries and using different currencies.

Committed to unlocking a borderless financial system for everyone where money  can flow freely, Black Banx is one such company that expands on the convenience generally offered by digital banking. 

By allowing customers to transact across over 180 countries and with 28 currencies and 2 cryptocurrencies, the company makes international transactions easier and less costly for travelers, international businesses, digital nomads, and essentially anyone else.

Lower fees and charges

Digital banking often comes with lower fees and charges compared to traditional banking. 

For example, online banks usually offer higher interest rates on savings accounts and charge lower fees for transactions such as wire transfers and ATM withdrawals. 

Additionally, digital banks tend to have lower overhead costs than brick-and-mortar banks, which allows them to offer competitive rates and fees to their customers.

This again is the case for Black Banx, as it is a fully digital global banking platform that does not require the establishment and maintenance of physical locations.

Operating through long-established businesses with an international network spanning 180 countries and territories in both established and emerging markets, Black Banx empowers customers with borderless transactions that cost significantly less than when done in standard digital and traditional banks that commonly include fees for transferring money overseas and/or to a third party.

Increased security

Digital banking provides enhanced security features that help protect customers’ financial information and transactions. 

These features include multi-factor authentication, biometric login options, and advanced encryption technology, which makes it difficult for hackers and cybercriminals to access customers’ accounts. 

Moreover, digital banking also enables customers to monitor their accounts in real-time and receive alerts for any suspicious activity, giving them greater control over their finances.

Maintaining a full PCI DSS 3.2 certification and payment software that uses fully encrypted and secured ISO 20022 certified messaging schemes for payment execution and data transfers, Black Banx allows customers to manage their accounts with the greatest sense of security no matter where they are making transactions from.

The company also develops and maintains strong relationships with the leading banks in the world as a means to ensure the safety of the funds of its customers as their money is never held in one singular bank or country. 

By segregating accounts across multiple locations, a higher level of protection is achieved as customers’ funds enjoy the security of multiple jurisdictions on top of being globally diversified for added earning potential.

A wide range of financial products, services and solutions

Digital banking offers several tools and features that help customers manage their finances more effectively. For instance, customers can set up automatic payments and transfers, track their spending, and create budgets to manage their expenses. 

Some digital banking platforms also provide personalized financial advice and investment options, which can help customers make informed decisions and grow their wealth over time.

With Black Banx, customers have the ability to transfer money instantly to and from almost anywhere in the world, as well as 24/7 access to currency exchange and crypto currency services.

With its  unique cryptocurrency proposition, Black Banx offers customers autonomy by connecting its fully fledged banking platform with the features of a crypto exchange, resulting in customers being able to use their crypto balance to pay third parties directly.

In addition to enabling customers to hold or manage funds in multi FIAT and crypto currencies conveniently on almost any device, Black Banx also offers the opportunity for wealth expansion by way of interest bearing savings accounts in EURO, USD, GBP, JPY currencies.

In conclusion, digital banking has revolutionized the way consumers manage their finances and contributed significantly to the growth of their wealth. 

With its convenience, accessibility, lower fees and charges, increased security, improved financial management, and access to a wider range of financial products, digital banking has become an essential tool for consumers looking to take control of their financial lives. 

As technology continues to evolve, and companies like Black Banx continue to pursue the expansion of a truly borderless banking system,  it is as good as guaranteed that more innovations will further enhance the customer experience and drive greater wealth growth.