What is a 'challenger bank'?

While the term ‘challenger bank’ typically denotes a provider that’s new to the market, there are a number that have been established for several years. Among these are names such as first direct and TSB.

Who are the fastest-growing challenger banks?

The fastest-growing challenger banks — Revolut, Monzo, and N26 — acquired customers rapidly through viral growth strategies and without first seeking a bank charter. As of November 2022, the 3 banks have a combined customer base of over 34M users.

What is a digital challenger bank?

Digital challenger banks typically have no physical branches, and all banking services are offered through mobile apps. This allows them to save on the maintenance costs of having a physical presence while providing online banking services. With digital banks, users can now move money around without having to visit a brick-and-mortar bank.