Go figure!
With a hat tip to the Xero gang for pointing out this report that comes up with the finding that NZ SMEs are paying too much for their banking services. We’ve go a situation where a few bog players, mired in archaic processes, hold u all to ransom. An SME has no choice as to whether or not to have a bank account – and therefore their only option i to pick from an (arguably) bad lot.
The banks are also supported in their anti-competitiveness by the central bank who regulates who can, and cannot, provide banking services.
Roll on banking 2.0…..
Ooh yes….what is banking after all other than shifting numbers on a spreadsheet and a bit of cash stuff (2% of the total money supply).
Businesses like Xero, Bartercard, Factoring services and others could always design an internal credit system living within the current system but yet bypasses any issues with regulation.
Back to the old days of accommodation bills pre Bank of England. Anyone who wants to really understand money and how this kind of system could develop then read the paper “The Nature of Money” on my website.