This Monday, Uber announced in a fintech conference that it is launching its own line of financial products, “Uber Money”. This initiative by Uber includes three financial products – Uber Wallet, Uber Debit Card, and Uber Credit Card (revamped).
Taking a more detailed look at these financial services shows:
With this new service, the Uber drivers and couriers will get immediate access to their earnings after every trip. Previously they had to wait for the weekly payments or cash out through instant pay.
Debit Card with Uber Account
Collaborating with Green Dot, Uber is integrating its Uber debit account, into the Uber Driver app. The company is also offering cash-back on gas purchases from 3% to 6% for its top-tier drivers.
Uber already has a very functional app wallet. But, with the recent update, Uber Wallet will enable earners to manage and move their money in one place. This feature has started for Drivers in the US and will soon roll out in Driver app around the world. This will be further brought into the Uber customer app, and UberEats app as well.
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The relaunched Uber credit cardholders will receive 5% back in Uber Cash from spending across all the Uber platform like Uber Rides, Uber Eats, JUMP bikes and scooters.
People are in doubts about the future of Uber Money, but Peter Hazlehurst (Head of Uber Money) seems pretty confident according to this LinkedIn interact.
It is quite obvious that the main goal of Uber is to immerse the market with its services and make Uber a one-stop platform for all the daily needs of users. Example, Uber, UberEats, and now Uber Money.
There were always speculations that Uber treat their customers to the best standards only at the expense of their drivers, that they always took their drivers for granted. This new initiative changes that perspective as Uber Money is primarily for the drivers and couriers to manage and save money working for Uber.
Peter Hazlehurst, the head of Uber Money quoted :
“For drivers in the US, and expanding to more countries soon after, we are updating the no-monthly-fee Uber Debit Account, to integrate seamlessly into the Uber Driver app.”
Uber Money is a headless banking service by the multi-faceted company. The term “headless banking service” applies to an application that doesn’t have its own interface, but its embedded in a host application like Uber and UberEats.
Uber Money has an efficient path to revenue. It offers lower fees and interest rates on loans to drivers who make more trips. This approach will help grow overall trip volume and motivate all the drivers to perform well. The data about drivers’ cash flow and income will enable smart lending decisions.