Yodlee I Envestnet

Embedded Briefing: What’s driving the embedded finance boom?

• Bain & Company estimates that the embedded finance industry will swell up to $7 trillion in transactions by 2026, up from $2.6 trillion in 2021.
• Payments, lending, and banking were found to be the key drivers of the embedded finance boom. In the future, embedded insurance, tax, and accounting are poised for significant growth.

Consumers are struggling with credit card payments – is BNPL a viable alternative?

• Consumers are struggling more with meeting the minimum payments on their credit cards than last year.
• This means more people are turning to BNPL payments because of their perceived benefits – which may come at a cost to consumers.

Weekly 10-Q: Is BNPL picking up steam while consumers struggle with credit card payments?

• Wall Street, Regions Financial, and MoneyLion have been slapped with heavy fines by U.S. regulators.
• BofA, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley, and Wells Fargo have taken part in the Federal Reserve Board's pilot program on climate change commencing early 2023.

Daily Tearsheet: Credit cards earn higher satisfaction scores but lose share of spend to competitors, and Visa tops one billion transit transactions with contactless payments

Data Snack: Credit cards are earning higher satisfaction scores – but still losing share of spend to competitors

• Primary card share of spend has fallen to 42%, with customers shifting to novel alternatives like BNPL.
• Customer experience metrics like call center hold times indicate that issuers need to revisit critical stages in the customer journey to ensure loyalty in the face of competition.