New York-based Moven is targeting smartphone-centric consumers with its virtual bank account, which helps them manage their spending in real-time at the point-of-sale. Virtual-Bank

Moven provides customers with a mobile app for iOS- and Android-based smartphones, a MasterCard-branded debit card and an NFC sticker that they can fix on their smartphone for contactless payments. The virtual bank doesn’t issue paper checks and has no plans to issue a credit card, although it is looking to introduce an overdraft or line-of-credit facility for creditworthy customers. Transaction processing is provided by FIS.

“Our app provides real-time feedback and analysis on customers’ spending patterns on their smartphone screen every time they make a purchase,” Moven President Alex Sion said. “Customers can either just view their Moven account using our app, or they can link their credit cards and accounts at other banks, so they get an overall view of their spending and financial health.”

Every time customers use their Moven card at a merchant, Moven categorizes the transaction and emails a receipt showing how much they have spent on that category during the month. “Our app will tell you, for example, that you’ve already spent $200 on dining out this month, and this is pushing you into the red,” Sion said.

Moven ties money management and spending decisions to the point of sale, which Sion argues is more effective than expecting consumers to do their monthly budgeting after they have spent their money. “The problem is that 80 percent of consumers don’t have the discipline to budget,” he said. “Our vision is to take the work out of money management, so that managing your money becomes as easy as spending it.”

Currently, customers can only deposit funds in their Moven account through electronic transfers from their other bank accounts or through payroll direct deposit. Sion said it plans to offer bill payments and remote deposit capture of checks. Customers have access to a network of 40,000 surcharge-free ATMs.

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Lionnel Yamentou Ndzogoue is a young African dreamer, with the vision of creating 10,000 or more jobs in Africa by 2035 in contribution to wealth creation on the continent. This blog is a platform for expressing his thoughts on the world, technology, personal development and other subjects as they come to mind. Some content is republished from other online sources.