I'm genuinely curious to see how they could possibly make money given this FAQ question [0]:
> What is the safety net? What does it cover?
> Our community safety net is an in-built accident insurance policy that will provide upto $5000 directly in your betterbank account in case of an accident or medical emergency.
According to their site, they make the necessary money for that safety net by splitting the profit from the interchange fee they get from big banks. That statement reminds me of Martin Shkreli telling the media he was profiting by overcharging insurance companies. There's no way loudly telling the world how you're screwing over the big players doesn't result in you getting squished at some point. Sure, now I understand their business model. But if they ever get traction these big banks will put an end to their medical bill subsidy real quick.
We make money off interchange--its protected by regulation for small banks and we partner with those small banks in return for them getting to keep our deposits. No one is getting squished---there are regulations protecting banking from being monopolizes. Big banks win because of branch networks and that doesn't matter for online banks
No, it does not make your points less valid, if they are valid. But it is reasonable to assume that the arguments of this piece form the foundational assumptions of the product you are selling. People will want to take this into account when considering your arguments.
