Virgin is not new to financial services.
It has been a niche player for more than a decade, concentrating on a select range of products and operating through partnerships with existing banks. But they now plan to offer full-service retail banking, with both current accounts and mortgages being talked about. Tesco has bought out RBS’s stake in their financial services joint venture.
A report by Steve Worthington, analyses the specific challenges that the likes of Virgin (and Tesco) face in building full-service banks:
For more details, check out:http://www.searchingfinance.com/products/current-titles/tesco-bank-and-virgin-money-can-banking-without-the-banks-work.html