
BankSimple invites first customers; rebrands itself as Simple - Q6T46nT668w6i3m
http://www.simple.com/blog/Simple/introducing-simple/
======
cynicalkane
I thought BankSimple was a great brand, because it tells you what it is and
fits well with the current zeitgeist.

What is "BankSimple?" A way to bank that's simple. Sounds interesting!
Everyone hates how complicated banking is, right? Let's go to the website to
find out more.

What is "Simple?" Who knows. A website that has something to do with banking--
or so I'm told--with yet another web 2.0 one-word "brand", a really
uninspiring one too. Hey, I wonder what's on Reddit.

~~~
al3x
The "Bank" in "BankSimple" was problematic for us. We're technically not a
bank. We also don't want to be associated with the way people have approached
banking, particularly in the US.

Sorry you're not crazy about the new name, but we're happy with it. It gives
us a lot of room to grow.

~~~
Umalu
There are actually laws prohibiting non-banks from using the word "bank" in
their name. A lot of bank holding companies (which are not, technically,
banks) got around this by replacing the "k" in "bank" with a "c" -- such as
"BancAmerica Corp". I'm sure we all breathed a sigh of regulatory relief
seeing that "c" there.

~~~
dman
Is avoiding regulation as simple as changing what you call yourself?

~~~
mschaecher
UberCab becoming Uber is another pretty good example of this name switch to
get ahead of regulators from a brand perspective.

------
buro9
I'm not sure I understand the proposition now.

Who is the relationship with?

As in... who has my money?

I read it as them hiding that from you for simplicity... you get this one
interface and customer service which is wonderful, but to achieve this they
are the proxy to your bank?

So... do they set up the bank accounts, or do you? Do you have the ability to
go straight to your bank, or does Simple preclude that ability?

In this text:

> Simple is not a bank. Simple replaces your bank. We build the services and
> support you need to manage, understand, and automate your everyday spending
> and saving. Meanwhile, we integrate with chartered banks who manage your
> deposits in FDIC-insured products. We take care of you, our partner banks
> take care of your money, and jointly, we’ve designed a better financial
> experience.

I come out confused. Who has the money, can I go straight to them to get it?

That's the missing bit of clarity that would make me feel the love (trust).

~~~
al3x
Hi, cofounder of Simple here.

We work with partner banks who hold on to deposits. For all intents and
purposes, you never have to think about who that partner bank is, but if you
ever need to contact them directly, you'll know where your funds are.

You might find our FAQ informative: <https://www.simple.com/faq/>.

~~~
al3x
Answering etherealG's question here because I can't reply to him below:

Yes, you'll know what institution your funds are at. When you get your Simple
card, it'll say "issued by {Bank Name}" on the back.

~~~
ynniv
Perhaps your FAQ should say that your money will be kept at a specific
institution that you will be informed of.

------
smackfu
I wonder if there were issues with calling themselves BankX when they are not
regulated as a bank. Edit to add, there are definite laws against this in some
states, for instance CT (I'm not sure if this would apply in this case, but
it's indicative of what is out there):

"No partnership, common law trust or association, or individual using a trade
name, shall use, either as a part of its name or as a prefix or suffix thereto
or as a designation of the business carried on by it, the word "bank",
"banking", "banker", "bankers", "trust" or "savings", "

<http://www.cga.ct.gov/2011/pub/chap620.htm#Sec35-2.htm>

~~~
al3x
That was a concern, but not the sole reason for our rebranding.

------
Lewisham
Did anyone else see this in the FAQ?

 _Who can use Simple?

To be eligible, you must:

\- Be a resident of the United States and over the age of 18; \- Have a Social
Security number; and \- Own a smartphone (iPhone or Android).

Do I really need to have a smartphone?

Well, you need to have an iOS (version 4.2 or higher) or Android device.
Android phones and iPhones are preferable so that you can deposit checks using
your smartphone’s camera and receive push notifications when you buy things._

I can't believe you need a smartphone to sign up. That seems absolutely crazy
to me. Why can't you just accept scanned checks from a scanner? I would hazard
more people have access to a scanner (even the one at work) than own a
smartphone.

~~~
al3x
Hi, cofounder of Simple here.

We require a smartphone for more than just mobile check deposit. We want
people to have our app installed so we can use it for multifactor
authentication, for example. We also want to do rich push notifications of
account activity, and SMS (the only viable non-smartphone option for that)
isn't a great experience.

Today, there's still a bunch of people who don't have smartphones. But the
previous generation of iPhone is now basically "free" at some carriers, as are
many Android phones. By the time we're off our invite list and open to anyone
who wants to sign up, it's going to seem crazy to support anything that
_isn't_ a smartphone.

~~~
Lewisham
Aha! Multifactor authentication is an integral part of the service. That's a
USP. You should put it right in that FAQ.

A number of Internet banks used to say "hey, you could mail us checks, or you
know, just keep a brick-and-mortar account open and transfer them over." The
way the FAQ reads _to me_ is that Simple are a bit bloody-minded about it,
what if I never get checks? (I must have had about 2 or 3 this year, total).
Then I wouldn't need a smartphone, but Simple would still not let me sign up.
Saying things like multifactor authentication would help push the idea that
the smartphone is really required, rather than just something helpful.

------
steve8918
Does someone know exactly what they are? If we deposit money with them, how do
we know we will get our money back? What does it mean when they say: "we're
not a bank, but we deposit your money in FDIC-insured funds"?

I'm all for introducing new types of banking entities, and I'm willing to even
try this company out, but in the age of post-Madoff and personally having my
identity stolen, how do I know who these guys are, and that they will protect
my money and my information?

~~~
wwdevries
Coincidentally I noticed that both Simple and Square do not mention anything
(anymore) about who they are. No about page, no team page, no nothing.
Especially with companies that are all about your money, I'd at least like to
know who's running the shop.

Since it's pretty much the standard for startups to tell about themselves on
their web site, this must have been a deliberate choice. What advantage does
it have – especially in the case of Square and Simple – not to show who you
are?

~~~
al3x
Hi, cofounder of Simple here.

We had a "team" page on our previous site (under the BankSimple name). We plan
on revising and reviving that page, it just didn't make the cut for our
updated site for the Simple rebranding.

I like knowing who's behind the products and services I use too.

------
beforebeta
Anyone notice the name "Joeseph Schumpeter" on the sample card? Its a
reference to Schumpeter's Creative Destruction - further implying them to be
in the process of destroying the old ways of doing things (in this case
banking) with a radically different approach. Love it!

~~~
nickik
Where? I cant find it. But I think its a fantastic idea. I really love the
idea of "Creative Destruction". The people who always go "but that will cost
jobs blabla" always pisses me off because they only see the bad and not the
good. Until we hit "real" AI there will be alot more work to be done.

------
xradionut
Unfortunately they need to make their web site cross-browser functional.
Doesn't function well in IE8.

I still have no idea why I would need their service. My current financial
institutions provide awesome service without cryptic bs. Consumer banking and
small business banking is simple to the moderately educated.

~~~
ganeumann
I think, when you say that banking is simple to the moderately educated,
you're objectively wrong. Banking regularly comes out as one of the bottom few
industries in reputation and one of the top few industries in customer
complaints. A huge number of people in the US really, really dislike their
banks.

There are some people who do some work to make sure they choose a bank that
will not treat them poorly and then continue to do the work to make sure that
they don't incur surprise fees or other pitfalls. Those people think their
banks are just fine. But, really, why is all that work necessary? The idea
behind Simple is to have a company that treats you well by default.

~~~
xradionut
"I think, when you say that banking is simple to the moderately educated,
you're objectively wrong."

Moderately educated means that a person as spent a few days in their lifetime
informing themselves how simple accounting and consumer/small business banking
works. It's not rocket science. If you can't read a simple financial or income
statement, you can't make an informed decision about a choosing a bank or
understand starting a company. Most people do cargo-cult personal finance.

Why should people pay a middle man for good treatment when they can shop
around and find a credit union that will do so, sans the vig?

~~~
ganeumann
I agree that in a world where banks try their hardest to screw their
customers, people should know how banks work. But a better world would be one
where people don't need to worry about how their bank might screw them because
their bank is not trying to screw them.

Anyway, in point of fact, most people don't inform themselves of these things,
and I don't think those people should be punished for assuming their bank will
be trustworthy.

------
martian
From the Simple FAQ:

Q: Are you like Mint?

A: No. ... Also, we hate pie charts.

Couldn't agree more.

------
basseq
My checking account is fundamentally a revolving cash account between a
portion of my paycheck and my monthly bills (cc, mortgage, utilities, etc.).
Other than autopay bills, all my purchases go through my credit card (which is
then another autopay against my checking acct.). I manage all this at a macro
level through Mint.

I never visit my bank website, partly because it sorta sucks, but partly
because I have no reason to—I really just care about the balance. Additional
views would be nice, but I need it at the macro level to incorporate all my
accounts (which Mint, admittedly, falls short on). I don't use my debit card
for anything other than ATM cash.

My checklist for a checking account is pretty short:

1\. No fees. (Including ATM fees. I'm reimbursed if a third-party charges one,
too.) 2\. Smartphone check deposit. 3\. Features / Customer Service / Interest
Rate, etc.

Simple's down in that third bucket (and they don't meet criteria #1).

~~~
bradleyland
Simple's FAQ says no fees:

<https://www.simple.com/faq/>

Although you may be referring to third-party ATM fees. I'm curious which banks
still reimburse for third-party ATM fees. Can you share the name of your bank?

~~~
286c8cb04bda
Not the OP, but I have a bank account at Schwab[1], and they refund all ATM
fees that other banks charge.

[1] <http://www.schwab.com/>

~~~
deltaqueue
This is correct for their high-yield investor checking account (don't let the
name fool you, the interest is a fraction of a percent). This account requires
a credit check and a linked brokerage account; although, I don't think that
brokerage requires a minimum balance. While I hold options, my cash balance is
~$3.

Anecdote: I have been with Schwab for years and love their offering. One
weekend in Vegas I accumulated something like $150 in ATM fees and they
refunded every penny of it. Like Alex said, this was only possible through
previous trade commissions/fees they've generated from me.

~~~
mrgordon
It's only possible from trade commissions/fees they've generated in general,
but not specifically from you. Some people definitely come out ahead.

And yeah, you have to open a brokerage account but you can leave it with $0
and no positions forever. That said, Schwab has some pretty killer deals on
ETFs on the brokerage side..

------
csears
I suspect the (Bank)Simple guys went down the list like this when deciding on
their new domain... SimpleFinanceTechnologyCorp.com (too long)
SimpleFinanceTechnology.com (long, but register anyway) SimpleFinanceTech.com
(meh) SimpleFinance.com (already taken) Simple.com (perfect!)

------
maxklein
So the "change banking startup" has morphed into a credit card reseller?

~~~
al3x
No, nothing has changed about our mission but our name.

Like basically every US bank, we issue a debit card. That card needs to be on
one of the card networks. We chose Visa for our cards.

What we're issuing is a debit card, not a credit card. It's standard practice
for banks.

------
smarmius
Honestly, I don't understand this rebranding. Are they making things other
than banking simple? I love the idea of making banking more simple and easier,
and that's why I thought their previous name, BankSimple, was better. Can
someone help me understand this?

~~~
roc
I think this is just a PR (over-)reaction to the current negative image of
"banks" and provides some space between Simple and the "banking" practices it
skewers in its marketing. (It is somewhat problematic to say "banks are bad
for you" and "we're not a bank" when your name screams "we're a bank")

I guess it's also somewhat logically defensible, since FDIC-insured credit
unions are just as qualified to be Simple's back-end partners. Though it still
feels like a dodge, given how foggy the relationship is between Simple and
their partner institutions. It feels like they want people to not _think
about_ Simple accounts supporting places like BofA, while still being free to
partner with BofA in the background.

That said, I wonder if they've considered a "community-focused" account
option, where people can specify that they only want their funds to be
deposited with credit unions, accepting whatever slightly worse terms come
with less competition.

~~~
al3x
Hi, cofounder of Simple here.

It's extremely unlikely that we'd ever partner with an institution like BofA.
We chose bank partners who are comfortable with our vision, and that includes
not charging outrageous fees and engaging in other customer-hostile practices.
The big banks have shown time and again that they're not in business to act in
the best interest of their customers, and that makes them poor partners for
us.

We don't currently have plans to allow customers to select the institution
with which their funds reside, but it's something we'll take under
consideration. Thanks for your thoughts.

~~~
jarek
Stating this in terms this harsh makes me extremely curious as to who your
bank partners are.

~~~
bdonlan
They mentioned them on their previous site's blog
(<http://www.simple.com/blog/Simple/partners-funding/>) - The Bancorp Bank and
CBW bank.

------
ben1040
I already use a small local bank. They have only a handful of branches and
it's pretty easy to get stuff done with them.

I don't want to change that relationship because I am happy with it, and I
certainly don't want to abstract the whole thing through a middleman. It
doesn't look like Simple is really right for me anyway as I have several joint
checking accounts and a business account as well.

But, I really wish my bank had some of the really slick online banking/mobile
deposit capture features that Simple is promising. I hope that if Simple gains
some traction, they can offer white label online banking services to banks or
brand it as "LocalBankCo online banking, powered by Simple."

~~~
al3x
We're not going to aggregate your existing accounts, so no, we may not be
right for you.

We're also not super interested in getting into white labeling, but it's
something we've thought about.

------
burnstek
This move strikes me as being a little too quaint for a financial service. I
can't tell what I'd be signing up for. While their language is very friendly,
it's also obtuse, and that doesn't foster trust.

~~~
al3x
What questions would you like us to answer, or where do you think we can be
more specific? We're always trying to improve the way we explain what we do,
so we're open to suggestions :)

~~~
damoncali
Can I withdraw my money directly from the partner bank, and is it in an
account with my name on it?

~~~
i2pi
Yes - we provide you with the account & routing numbers so that you have
direct access to your funds at the underlying account.

(Josh - CEO, Simple)

~~~
i2pi
On the naming of the account, it is a little more complicated. Everyone gets,
at least, two accounts with us. One is a joint account, that is named
'Simple', but titled for the benefit of (FBO) our customers. But titling it
such, all FDIC insurance flows through to the individual customers.

In addition to the co-mingled account, everyone gets an individual interest
baring account, which is directly titled in the name of the customer.

Either way, you can access your funds at any time.

In the case of the co-mingled account, we generate pseudo-account numbers that
correspond to your portion of that account.

It is a complicated answer, but unfortunately, banking is complex. We do a lot
of heavy lifting on the back end to make it as simple as possible for you.

~~~
botker
I wish Simple the best of success, but it seems clear that a more technically
correct name for the company would be Complicated.

I understand that your goal is to create the appearance of simplicity via
complicated obfuscations. Those of us who are concerned about where our
accounts live, and how they're structured, are not your prospective customers.
So while I have no need for an invite, I wish you the best of success.
Certainly some people will enjoy your service.

~~~
al3x
The financial system is inherently complicated. Having an account with a
traditional bank is no guarantee that your financial life will be free of
intermediaries. Banks outsource everything from IT to customer support to
marketing and fraud analytics. Unless you either run a bank or work with a
very basic credit union, you probably don't have the full picture of what's
going on with your bank accounts.

Banking with us does not obfuscate where your funds reside. It does, however,
mean that you don't have to deal with a bank for support and technology
issues. Instead, you get to deal with a company that's focused on those things
rather than on managing a treasury, making loans, etc.

------
antoncohen
What if I need to bank in-person? I know it seems odd these days, one example
is if you need a lot of cash. I hit my maximum daily ATM withdrawal limit last
week, it was extremely annoying. I happen to have accounts at two banks, so I
used my other account to get around it. I used to exclusively use online
banking (E*TRADE Bank). Not being able to go to a bank in-person, for things
like cash or money orders, become a real problem. I switched to normal retail
banking.

How would I handle these issues with Simple?

~~~
al3x
Daily ATM withdrawal limits are something we have some freedom to adjust, but
ATM owners get to set their own limits as well. We're generally trying to make
it easy to make substantial withdrawals purchases and such while still keeping
a lookout for fraudulent activity.

We're issuing checks, so you can always make a check out to "cash" and take
that into any physical bank if need be. Over time, though, I expect products
like Square to make it possible to transact with your Simple debit card in
places that might have previously required cash or a check.

~~~
antoncohen
Thanks for responding. I like the idea, and Square-like services will make
card transactions easier in the future. But I really think you need to focus
on this cash/large transaction problem. I've never thought about taking a
check for "cash" to a bank, but I highly doubt it will work for a large sum of
money, especially if it isn't your bank. My experience with cashing check at
banks other than my own is they either refuse, or if the check is drawn on
their bank they will do it for a fee.

Here is a list of reasons I have needed large amounts of cash:

* Last week a friend needed cash right away, I loaned it to them. That friend actually had the money in the bank, except that there are no local branches for my friend's bank. After this experience I think my friend will be getting a bank with nation-wide branches.

* I've never taken out a car loan, I've always paid with cash or a bank secured check (money order). Try buying a car with a personal check or debit card.

* Buying a MacBook on craigslist. Random people don't use Square.

* I use to modify/build cars. Buying used engines and parts costs a lot, cash or money order required.

* Neiman Marcus only takes AMAX. Visa debit cards are useless there. There isn't much you can buy at Neiman Marcus that is less than an ATM max.

------
hemancuso
Burning money on outrageously priced domain names instead of executive
bonuses. I love it!

~~~
al3x
Hi, cofounder of Simple here.

It wasn't a cheap domain, but our investors felt it was worth the expense.
It's memorable, flexible, and to-the-point. We're generally not a profligate
company, but we felt strongly about this.

~~~
kr1shna
I for one, love the branding. I think this is a leap forward in banking. I
don't get why so many people are confused about the concept or don't like the
name. Seriously...who cares about a statement or where it comes from? Those
are old paradigms that need to be destroyed. Good job, Simple! I'm just sad
that I can't get in the UK.

------
alwillis
I signed up for Simple née BankSimple nearly a year ago—I have an email dated
November 30, 2010 that says I'm in their queue.

I literally can't wait to open my Simple account, especially as 2011 is
winding down.

Being an early adopter and someone who became disillusioned with our financial
institutions, especially the banks, signing up for Simple was a no-brainer for
me.

I cringe every time I have to deal with old-school, traditional banks; every
month I hope it'll be the last one I have to deal with these archaic and
broken institutions.

As far as I'm concerned, I can't open my Simple account soon enough. I don't
have any connection to the company or any of its employees. However, I do
recognize when there's a better solution to an existing pain-point.

I know I'm not alone in experiencing how broken banking has become—I have a
$35 overdraft because I bought a $1.99 app that overdrew my account. Yeah, I'm
looking at you Bank of America.

I have my fingers crossed that I'll be in the first big wave of customers as
Simple continues expanding its customer base since I signed up long before the
Johnny-come-lately's showed up.

------
kristaps
Any info on how much the domain cost?

------
Aloisius
Man, whoever their PR person is, they're sure good at getting to be #1 on HN.
It seems like every month there is a new BankSimple story and every month the
same comments pop up asking who they are and how they work.

I do think maybe they should pick a better username though.

------
netmau5
I really like what you guys are trying to do here, but you still haven't made
it more appealing than getting frequent flyer miles on my credit card. I know
you want to use the normal card fees to make some cash, but why do you need
those + deposit interest?

My brick & mortar bank provides me with a free-to-use checking account w/debit
card in exchange for the interest made off my deposits. My credit card, paid
in full each month, provides the same free service with flyer miles. The value
proposition of making my data easier to search and filter from the information
already given to me at my current bank/CC websites doesn't do it for me.

Love what I've seen, but I hope you guys find a better value/price point.

~~~
al3x
There's a couple of outcomes I can see:

1\. We just aren't the right banking service for you. 2\. We find out that a
lot of people are interested in rewards programs, and we come up with a really
compelling one. We've addressed that briefly in our FAQ, FWIW.

Either way, thanks for your feedback.

------
AznHisoka
People aren't compelled to try a financial service to spend more wisely.
They're compelled to try it because it "earns" them more (more interest, cash
back, etc). Might be the same thing, fundamentally, but psychologically, it's
not. Greed is good.

~~~
al3x
Hi, cofounder of Simple here.

Some people are driven to change banks because of interest rates, but those
people are not the majority. Most people change banks around major life
events: moving, getting married, getting your first job, etc. Or, they change
banks when they have an extremely negative experience with their current bank.

Either way, changing banks is a hassle, and we really have to make it easy and
compelling. But interest/rewards aren't the only motivation, or even the
primary motivation, for switching one's bank according to bank industry
research.

------
phi1618
Interesting concept, but I'm skeptical how successful it can be. Banks are
trying to get more money out of customers, in large part, to compensate for
the costs of cyber-theft. Banks would rather reimburse your stolen money and
recapture it through xyz fee, than lose your confidence.

Simple does nothing to solve the bigger issue of our insecure networks. From
what I've seen, they're no different from any other company offering online
banking services. Add in the fact that they don't have any physical
collateral, and maybe they're even more vulnerable than traditional banks...

~~~
al3x
Hi, cofounder of Simple here.

Do you have data on banks increasing fees to combat the expense of "cyber-
theft"? That's a new one to me. Banks have mostly been raising fees because
new legislation in the US has cut into their interchange revenue. Plus, the
cost of building and maintaining physical branches remains high, and foot
traffic to those branches is decreasing.

I'm not sure what you mean by "physical collateral", but we do take steps
above and beyond what many banks offer to make our systems and our customers
more secure. We're offering multi-factor authentication, and we participate in
rigorous internal and third-party security audits.

In some ways, our partner-based model improves our security stance. Our
systems never touch sensitive data like customer debit card numbers.

I appreciate your concerns about security. Please understand that it's a top
priority for us.

------
ck2
Whoa - what did that domain name cost them.

------
adamio
I already have a checking account. The website interface works. Its not trendy
glossy HTML5, but that's ok because my money isn't handed over to a third
party who gets to profit off its interest on my behalf. What problem are you
solving? The user interface for bank's sites are not good? So you are a
different user interface and all I have to do is put my money in a black box?
Who is funding these startups, wow. I have no confusion over the terms of my
checking account, its already simple.

~~~
al3x
There's a whole bunch of problems we're solving. More, really, than fits in an
HN comment.

You're right that user experience is a primary concern for us. The interface
that most people have their financial data is extremely poor. This makes
answering questions about your financial life slow and clumsy, if it's even
possible given the tools your bank provides. That keeps a lot of people from
making the right financial decisions to stay debt-free and grow their savings.

To your point about your checking account: many checking accounts don't
actually have simple terms. Increasingly, they're full of hidden fees and
complex conditions.

More broadly, we're doing what we're doing because many banks aren't investing
in design, technology, and customer service. Instead, they're investing in new
ways to squeeze as much money as they can out of their customers without
innovating. We're here to continuously experiment and improve. That may mean
that we're not the right banking solution for everyone, but we think a lot of
people are going to like what we've built.

~~~
adamio
Ok fair. With Simple I can have a nifty way to view my expenses and have no
hidden fees. The cost to me is nothing out of pocket, but I have to let Simple
manage my money. I can see being more useful than a prepaid visa card for
(college)kids, but it seems rather limiting to compete with standard checking
accounts.

~~~
18pfsmt
> _I can see being more useful than a prepaid visa card for (college)kids, but
> it seems rather limiting to compete with standard checking accounts._

I'm not sure if your ability "to see" anything is relevant, but your
characterization seems extremely shortsighted. Do you honestly believe that
innovative startups of this kind launch with one set of features and never
make improvements or add features later? I can think of lots of ways a company
could innovate in the banking world, so I guess they are only limited by
imagination.

~~~
adamio
I retract my comment about who would invest in this company. Yes I agree
innovation is needed in the banking world, and I don't know anything beyond
the website. So right now there is too much missing information about their
first product to speculate.

------
tucaz
I don't live in the US but I do some business there sometimes. It would be
really nice if foreigners could open an account, but I think that because the
lack of a Social Security Number this is not possible, right?

Actually, I have a bank account (and debit card) in a small bank in Iowa so
maybe this is not an issue at all.

Now I'm confused. Can someone who knows or lives in the US clarify this one?

------
inmygarage
I wish Simple would consider supporting all ATMs, not just in-network ones.
And by supporting, I mean reimbursing all ATM-related fees. Ally does this.
Although Ally is a bank rather than a front-end-for-a-bank, this feature has
become increasingly important to me as I find myself increasingly patronizing
cash-only establishments.

~~~
al3x
We've explained in our FAQ why we don't do this currently:
<https://www.simple.com/faq/>

Basically, reimbursing ATM fees is an illusion. They charge you over here and
reimburse you over there. No net win for most consumers, unfortunately.

~~~
plusbryan
I'm curious about this - it's one of the reasons I love banking with Schwab.
No fees for ATM use, even internationally. I rarely need cash, but when I do,
it's really convenient that I can use any stinky old corner ATM.

I ask honestly: what illusion am I missing?

~~~
parrispreston
Yeah, ditto to this. I have Schwab and I can go to any ATM and they reimburse
me at the end of the month. No yearly, monthly, overdraft fees. nothing.

------
cleverjake
Ah, wonderful. I hope I can get in soon. I've been waiting forever. Congrats
to them for finally getting public.

------
powertower
<https://www.simple.com/>

Seriously broken website, at least it is in IE8.

~~~
j_s
Perhaps not the kindest words, but it is true... hopefully someone who can fix
it sees this in spite of the down-voters!

<http://browserling.com/explorer/8.0/https%3A//simple.com>

------
kjell
I signed up for the waiting list 04/2010. Anyone here that's already in? When
was your sign up?

------
losvedir
Sigh, still waiting for an invite. Got an email in October of last year saying
I could get an account "at some point [this] year", so hopefully soon.

One question, though, I can't find on the site, is whether I receive any
interest. And, if so, at what rate?

~~~
al3x
You will receive interest. In fact, we automatically move your money around
behind the scenes so you earn as much interest as possible.

I don't know when we'll start publishing our interest rates, but we have some
additional info about interest rates on our FAQ: <https://www.simple.com/faq/>

~~~
corin_
Hi Alex - in a previous comment you said:

> _When you get your Simple card, it'll say "issued by {Bank Name}" on the
> back._

How does that fit around moving money around behind the scenes? Will each
customer's money be limited to a single bank, and moved around between account
types? Will all Simple's customers be using one bank that you have partnered
with?

If not, could one Simple account actually have its funds stored between
multiple different banks (or multiple accounts within a single bank)?

And when you say "we automatically move your money..." are we talking about
the automated equivilent of when a bank phones / writes to you saying "looking
at your behaviour over the last 5 years this account might fit you better...",
or is it more like "every day your money might move somewhere else", or (I
assume this) where between those two?

If I weren't English then I'd be signing up for sure, good luck :)

~~~
i2pi
Great question. Josh, CEO of Simple, here.

The way it works is the card gets linked to an account on signup. This account
is a non-interest bearing card account. When you deposit funds, we place those
funds in other accounts. The other accounts are determined by what products we
have available from our partner banks, and your historic usage patterns.

For example, if you start spending less, we'll move more of your money into an
interest bearing account so that you can benefit from your financial
restraint.

As you spend money, we (in real time) move funds to the card account from your
other accounts to cover the cost of anything you buy using the card.

As our portfolio of financial products grow, we'll continually rebalance your
money across these products to maximize your return.

This system automates what most people try to achieve, but banks make
difficult to do: namely, earn as much interest on money you have and pay as
little interest on money you borrow.

We do this because it is the right thing to do for our customers & quite easy
for a computer to manage. Other banks don't do this because they earn
significant revenue when people make mistakes in managing their money. We have
none of those punitive fees, so our interests are aligned with our users.

(PS: I'm in London right now. What's up with English Bacon??)

~~~
corin_
Let's say I'm a customer and I don't have a huge pile of savings - maybe I'm
earning $2500/month and the total cash I own at any one time is between $7500
and $10,000.

My usage patterns might suggest that every month I spend around $2200, so you
could leave that on the card and play around with say $7k. What happens if I
then want to go out and, in a single transaction, spend more than $3k. Do you
let me go technically "overdrawn" without charging me a fee and instantly move
money in from elsewhere to replace it? Or do I have to inform Simple in
advance of spending that much? Or do people without enough money to give
plenty of buffer just not get their money moved around as much?

Thanks for your answers - and what's wrong with our bacon, it's amazing! How
long are you over here for?

~~~
i2pi
If you spend more money than what we have placed on the card account, but you
have available funds at other accounts we manage, we'll automatically move
over the money to cover the cost of your transaction. No fee. Real time.

We don't have the notion of 'overdraft'. Instead, we set up a special savings
goal for each customer called an Emergency Fund. We automatically start saving
a small amount each day towards the Emergency Fund. So, you might have $1,000
in your account and $500 in your Emergency Fund. If you then went to a store
and spent $1,200, we would draw $1,000 from your Safe-to-Spend and an
additional $200 from your Emergency Fund. Again, no overdraft fee. In fact,
instead of paying a fee and then paying interest on the overdraft, you will be
earning interest on any money in your Emergency Fund. A small tweak on how
overdrafts typically work, but a huge bonus for customers.

I'm just here for the day. I came to town to speak at The Economist's banking
conference. Flying back tomorrow to celebrate the launch with our team.

~~~
corin_
Next time you're over here give "streaky bacon" a try, it looks to be closer
to the norm in America. And I've made a mental note to eat some bacon next
time I'm in LA to see what you're complaining about!

~~~
Lewisham
As an ex-pat, my impression is streaky bacon == American bacon, but America
has no analogous product to English back bacon.

It drives me _nuts_. I haven't had a decent bacon sandwich in years :(

------
paulocal
Love the new name and domain. Love the design of the card!

Two questions though:

1) Are actual branches in the roadmap at all? Digital banking is great but has
its limitations.

2) How about deposits? Can we take pictures of a check? Or make deposites at
an ATM?

------
jason_slack
I hope I get an invite too. I requested one from the start...

------
darrenkopp
Just out of curiosity, how much did the domain name cost?

------
cmelbye
Wow, amazing to hear that it's finally here. I have an email from June 22,
2010 confirming my invitation request, hopefully I'll see something soon.

------
jamgraham
Looks like most invites will go out in 2012.

<http://twitter.com/#!/ryansnyder>

------
ohyes
So... lets say someone hacks my Simple account (or simply phishes the
password) and drains all of its funds.

What happens then?

~~~
al3x
Hi, cofounder of Simple here.

We're in the same position that your current bank is in when it comes to fraud
and theft: we're insured for it, and we follow industry-standard practices
when something bad happens.

Most likely, what would happen is:

1\. You realize that your account has been compromised. 2\. You call us up.
3\. We investigate your claims with our partners. 4\. You get reimbursed. 5\.
If there was a security flaw on our side that we can fix to prevent this from
happening in the future, we do so.

We have a comprehensive security review process and participate in internal
and external (third-party) security audits. We're also taking steps to make it
more difficult for attackers to compromise your account through multi-factor
authentication and other mechanisms.

If you have any other questions about our security practices, please contact
us: hello@simple.com or security@simple.com.

~~~
ohyes
Thanks for responding,

So when you say you aren't a bank, you really do follow many standard banking
industry practices (at least in terms of security/insurance).

I think it is important that you show this when advertising a service like
this to possible customers.

I appreciate the importance of keeping the pitch simple, but for me, I act a
little more cautiously with my money than I would signing up for a new social
network or something of that nature.

I want to be able to read all of the fine print and know exactly what
recourse/assurance I have, before I fill out an application. Having it spelled
out somewhere is important. Perhaps I simply couldn't find that part of the
site, (but even if that is the case), any security guarantees might be worth
putting front and center.

------
middayc
looks good, but I'm not sure if necessary very-good-modern-design == simple ?

not trying to be down on you, just asking about it now because when I make
stuff for others I don't have this corellation and to me the simplest thing is
many times command-line.

~~~
al3x
Hi, cofounder of Simple here.

This is a good point.

We think there's a difference between "simple" and "stark" or "minimalist".
Our goal is to create an experience that's inviting, explorable, and clear.
That doesn't necessarily mean doing away with all visual ornamentation.

Sure, plain text is "simple", but iconography, texture, and other design
elements can contribute to that ideal as well. Thanks for your thoughts!

~~~
middayc
Yes, I agree with you. There are many types of "simple" and iconography,
texture, .. can help the simplicity if used very well.

I would just be really careful when doing this very rich design that the
designer doesn't get carried away and forget that the design should be serving
simplicity and not the other way around.

Good luck with the product!

------
andrethegiant
Can the user choose for their money to deposited in a credit union rather than
a bank?

------
drivingmenuts
Who are the partner banks? Who is actually going to be holding onto the money?

------
gourneau
Dear Simple Folks, may I please have an invite? Thanks!

------
NanoWar
On HN, branding and naming discussions prevail :( .

------
vijayr
How much did the "simple.com" domain cost you? :)

------
moizsyed
"Drop the 'bank.' Just 'Simple'. It's cleaner."

------
kr1shna
How soon can we something like this in Europe?

~~~
Joeri
The banking market in europe is not as unified. Simple would have to approach
europe country by country. For example, retail banking in italy is nearly ten
times as expensive as in the netherlands.

There's a study by the EU on this topic:
[http://ec.europa.eu/consumers/rights/docs/study_bank_fees_en...](http://ec.europa.eu/consumers/rights/docs/study_bank_fees_en.pdf)

~~~
mhd
A pan-European, unified solution would indeed be rather hard to do, but even
going country by country you could earn quite some money. Start with the UK
(fewer i18n and support problems), then probably the countries who are paying
for the rest of the EuroZone right now.

------
kevinherron
Great! Why haven't I gotten my invite yet? :)

------
cloudhead
So I'm guessing this is US-only?

------
jackgavigan
So the main thing I take away from this thread is this: Simple isn't.

------
lhnn
I don't get what the confusion is. "Simple" (generic name, weak branding..) is
a middle-man between banks and you.

Why?

-They have multiple backend banks, so I suppose that keeps you the customer from getting locked into one bank's crappy fee policy.

-They can focus on customer satisfaction and UI rather than be bogged down by becoming a "real" bank.

Any doubts about their trustworthiness because they're not a bank is nothing
but FUD, since they explicitly stated multiple times that your money is in a
bank.

~~~
al3x
Sorry that you think the name is "weak" and "generic", but I'm glad that you
get what we're doing.

"Simple" is definitely a generic term, but brands are built over time.
Personally, I love our new logo (by our own @3n), and I think it'll resonate
when you start seeing it on actual debit cards and such :)

~~~
lhnn
It's easy to talk shit on the Internet...

Obviously, I support your business idea, and I look forward to it shaking
banks up a bit. If the product is strong enough, a generic brand won't kill
the business. I still believe

BankSimple was a better name (in my opinion), as it actually positioned you as
a new player in a game to change the status quo. I can understand if there
were potential legal issues with a non-bank calling itself a bank. If this is
the reason a change was made, then I'm wasting my keystrokes.

Send me a beta invite!

~~~
eavc
My thinking is that an innovative, abstract replacement for banking will
either float or sink on the strength of its offering and subsequent word-of-
mouth. My mother wouldn't ever sign up for this on her own regardless of what
it's called, but in time, I might be able to get her to use it if it's good. A
descriptive brand name is almost irrelevant for a company like this.

Now, the other angle here is that banking might simply be their entree into
the abstraction business at large. So maybe today I bank through Simple, but
in a few years I buy insurance through them. And maybe my cell phone plan.

There's a lot of confusion and noise interfering with the efficiency of
consumer markets as mediums of value exchange. Abstraction, quantification,
and objective selection could be a neat way to cut down on some of the
inefficiency, misinformation, and confusion.

------
klbarry
Will Simple ever integrate with, say, kingstrade or another investment
program? That [!] would make things amazingly simple. I suppose that would
take away their own income, though :)

~~~
al3x
We've considered it. Not something we're likely to do in the next year, but
it's on our radar.

------
warmfuzzykitten
Do you really want to let Simple take care of your money?

~~~
ganeumann
Yes. Yes I do.

I put my money into a bank and take it out when I want to spend it. I look at
my statement to see where I spent it. It's simple. There is absolutely nothing
else I want a bank to do for me. I do want a clean and useful mobile-optimized
interface, a friendly and helpful customer service staff, and to not be
charged a penalty (sorry, 'fee') every time I make a mistake. That's the
Simple proposition. Why would you want it to be complicated?

