Robinhood turns personal finance upside down – again
(Note: all the sources listed in the “Balanced” section)
Robinhood shocked both regulators and the financial industry when the stock-trading app announced in December that it would offer a no-fee checking and savings accounts that will pay a whopping 3% in interest. This will press traditional banks to compete given the current average U.S. savings account rate is 0.09%.
Robinhood first sent a shock to the brokerage system by allowing online investors to buy stocks, ETFs, options, and cryptocurrencies all free of commission in 2015. With its latest move, Robinhood could turn the financial industry on its head once again.