A few months ago, Lizzie Chapman, co-founder of payments platform ZestMoney, joked to a venture capitalist that she should just reposition her lending startup as a “neo bank” in order to attract a higher valuation.
That quirky term has found currency in the startup world rather suddenly. Vinay Bagri, co-founder of NiYO, which is already positioned as a neo bank, says that when his startup launched in 2016, no one, including him, had heard of a neo bank.
