Challenger banks are always looking to think outside the box. In this case, Revolut is partnering with Snap Car. A digital banking alternative partnering with a ride-hailing B2B company is rather intriguing. For Snapcar’s drivers, this new collaboration can yield some unexpected benefits.
Instant and automated payouts are a very rare creature in this day and age. Not because the technology isn’t there, but mainly because for entities officially integrate it. This is why the partnership between Revolut and SnapCar can prove to be extremely interesting. The main goal is to integrate instant automated payouts into drivers’ accounts. Partnering with a digital banking alternative can certainly introduce some positive changes in this regard.
A Positive Partnership for Revolut and SnapCar
Doing so may require an overhaul of SnapCar’s entire business model. The company collects fees from customers and pays drivers once a week. It is not an ideal system, but it seems to work out well enough for all parties involved. Unfortunately for the drivers, waiting several days to receive the payment is not uncommon. That situation will need to change sooner or later, but enforcing such a change will remain a major challenge.
Revolut CEO and Founder Nikolay Storonsky comments:
“We’re delighted to team up with SnapCar, as we believe that we’re the perfect partner to allow them to provide their drivers with instant automated payouts directly into their accounts. We’re using technology to begin changing how instant payments are made, providing SnapCar with a new and improved way to pay their drivers, while giving SnapCar drivers the opportunity to work and get paid on a schedule that works for them.”
Revolut offers a payment infrastructure which can negate any delays. It would allow drivers to be paid on-demand into their Revolut account. There is no fee commission or international transaction cost involved. For SnapCar and its drivers, this cna make a world of difference and even entice more people to sign up for the service. More importantly, this is a feature no legacy bank can offer at this time, nor will they do so in the future.