• Home
  • News
  • Fortune 500
  • Tech
  • Finance
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
Magazine

Chase’s Flop Shows Startups Can Compete With Big Banks

Rey Mashayekhi
By
Rey Mashayekhi
Rey Mashayekhi
Rey Mashayekhi
By
Rey Mashayekhi
Rey Mashayekhi
July 28, 2019, 10:00 AM ET
Courtesy of Aspiration

In June, JPMorgan Chase announced it was shutting down Finn, its millennial-targeted mobile banking app, only one year after its launch. The move to scrap the no-fee digital platform isn’t a disaster for JPMorgan—it still leads U.S. banks with around 51 million digital users. But it shows how major banks can come up short in their quest to compete with the wave of tech-centric, online “neo-banks” that are striving for their market share.

These challengers are steadily picking up steam. San Francisco’s Chime, which is targeting young working millennials, surpassed 4 million customers this year. Its competitor in L.A., Aspiration, has accumulated over 1 million customers by building its business around “socially conscious” banking and investment services—offering an alternative for customers who don’t want their money being used to fund, say, oil pipelines. 

A version of this article appears in the August 2019 issue of Fortune with the headline “Chase’s Finn Flops.”

More must-read stories from Fortune:

—Meet the A.I. landlord that’s building a single-family-home empire

—You might have longer than you think to invest for retirement

—Facebook’s Libra currency could threaten the global financial system

—The surprising way Republicans used to use immigration to boost the economy

—One of Warren Buffet’s favorite metrics is flashing red. Corporate profits are due for a hit

Don’t miss the daily Term Sheet, Fortune‘s newsletter on deals and dealmakers.

About the Author
Rey Mashayekhi
By Rey Mashayekhi
LinkedIn iconTwitter icon
See full bioRight Arrow Button Icon
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.