This week I spoke with Janelle Sallenave, the chief experience officer at Chime, about how the digital financial services provider earns customer trust without the physical trappings of a traditional bank—physical infrastructure like branches, which serve as literal touchstones for a bank’s authenticity.
According to Sallenave, the answer is easy: Put the customer first.
“The data that we have at Chime has shown us unequivocally that you do not need a physical branch or branch network to be able to earn trust,” Sallenave says. “I don't say that just because 75% of our members choose to use us as their primary relationship, but because those members are so satisfied that they are referring their friends and family to Chime at a higher rate than anyone else in financial services.”
It’s important to note—as Chime does on its website—that Chime is not actually a bank. Rather, the digital-native fintech company is a go-between for customers and banks, offering users checking accounts, secured credit cards, and other financial services. Those services allow users with low cash flow to still gain access to credit-building systems, boosting their economic strength.
But while Chime partners with banks to provide necessary liquidity, resources, and that fundamental level of account security, the app’s tech- and consumer-first approach has allowed Chime to innovate services beyond traditional banking—services such as depositing paychecks in customer accounts a day before they clear.
Chime serves 14.5 million users, many of whom Sallenave says are living paycheck to paycheck, so that extra day can make a difference. Meanwhile traditional banks, Sallenave says, were built on a model that values “where the money is,” which means focusing on keeping large volumes of assets under management. That typically results in the needs of large corporate customers being given favor over smaller retail consumers'.
“Our model is fundamentally different than traditional banks, which means we can innovate and build these products that are just built on a completely different premise,” Sallenave says.
Even so, Chime does provide service in person too. Through a partnership with Walgreens, Chime even allows customers to deposit cash into their Chime accounts. Meanwhile, the fintech app has also partnered with an ATM service provider to give Chime users access to over 60,000 cash points. But that, Sallenave says, is more about providing convenience than building trust.
“For us, building trust really is as simple as putting the member first, whether that is through how we build products, how we think about using technology for safety, and how we support them when they have questions,” Sallenave says. “When you do that really right, and when you do it authentically, you build that trust.”
Eamon Barrett
eamon.barrett@fortune.com
