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  • Chances of bunq going bankrupt?

@Amar-Silver-Jaguar#31186

Do you have a source that bunq has any debt? As far as I know it has none. The money of the account holders is (or at least should be) as static as it can be, stored at the European Bank or invested in state obligations. Operational costs are all covered by Ali himself (and revenue of course). So unless I'm missing something there aren't any large debts?

This actually gives me huge confidence that bunq won't go bankrupt over night. Other banks like ING and ABN AMRO only still exists due to government bailouts. These banks all continued their business without any major change in strategy, so they're basically accidents waiting to happen. Bunq is one of the few banks in The Netherlands that's actually doing things differently.

    Hi All,

    There are two certainties in life: you will die someday, and good products will always sell 😂

    As mentioned above, there is a pretty cool safety-net which grantees your money up till 100k (and in most cases up te 200k for businesses).

    Read all the details in English right here

    So, you can sleep peacefully tonight. You might even dream about how big bunq will be within 5 years from now . 👍😴🔮

    Sleep well tonight 😴

      Thanks for all your responses guys! I forgot I am secured up to 100k. It should indeed be fine then, for the foreseeable future :)

        @Amar-Silver-Jaguar#31186 Bear in mind this can happen to ANY bank, anytime. Fortis, ABN, anyone?

          @Arjan#31226 you forgot the infamous DSB Bank :) A classic example of a bank that got greedy.

            @Arjan#31226 In that case you could perhaps say your money is even more secure at bunq, because of the no investment principle at bunq.

              @Amar-Silver-Jaguar#31222 The only advice I can give: in case of such a scenario it might be hard to access remaining funds for a while. It is (in my humble opinion) always a good idea to spread your money. Not because you’re at risk of losing it but because you don’t want to end up needing cash and not being able to withdraw at the exact moment you need it.

                Not too worried about that as your money is covered the regulator until 100k. Do know that the IP (intellectual property) of Bunq is very valuable (they have created a state-of-the-art internet bank using modern emerging technologies; no expensive legacy systems) so even if they run out of funding they would be very attractive to acquire, but I believe they will be succesful! Also they won't get hurt during a financial crisis as they don't gamble with our money.

                  Too bad IBANs aren't hot swappable between banks and accounts (yet), that would solve a lot of problems with regard to transferring all your services and such if you change to a different bank.

                    A bigger risk is bunq being brought by any of the mainstream retail banks and accounts being transfered to that bank. Exactly that happened to me with current accounts, credit cards, and utilities.

                      @Stephen-Azure-Unicorn#31238 Yes, that could happen. bunq is a startup, and most startups dream of being bought, and make a small fortune on a profitable exit strategy. Another bank might offer to buy them for the technology, which as mentioned, is state of the art. If for nothing else, then just to shut down the competition. I hope however, that this is more bunq's vision for the future.

                        @Dennis#31239 that would be the last thing I would ever forsee 🔮 happening to bunq.

                          I also wonder about this, not because of the risk of losing money but I'm just really interested if we can have a sustainable, ethical bank for 8€ a month. I gladly pay the money for the promises bunq made but is it enough?

                            @Freek#31266 Bunqs total operating expenses (according to the bunq financial report of 2017) are 9.1 million euros. There are some other small pluses and minuses, but roughly their expenses are 9.1 million euros. With roughly 1.1 million customers at 7.99 euros, bunq makes those 9.1 million euro's. That's 0,15% of all EU residents.

                            In the financial report there's a sum for "fee income" and a sum for "fee expenses" and the fee expenses amount for 58% of the fee income. Bunq doesn't tell us how many premium members they have and somewhere in 2017 they introduced bunq premium, so it's really unlikely that those 58% expenses per income stay the same (and don't get lower) but say in this most unlikely scenario that bunq keeps those high expenses, they'll only earn 3,38 euro's per premium membership. Then they need 2.7 million customers. That's 0,36% of all EU residents.

                            And it that scenario they would break even. So with more customers, Ali and all the awesome hard working people at bunq have some extra money to throw parties and be proud of what they have accomplished. ^^

                              @Petervdv#31447 The expenses were per year. The mentioned 7.99, per month. They therefore need fewer customers to run break even. So that should be easy. :)

                                Well, Ali already mentioned before that he doesn't expect bunq to be profitable in the near future. That isn't something to get all worried about right now. I think the current financial situation of bunq isnt strange for the fase bunq is in. And as long as TransIp is thriving there is even less to worry about.

                                bunq has only one focus now:
                                To build the best banking app in the world and give the user the best experience possible. 'bunq, reinvents banking' should be the slogan 😆. All other things are far less important in this stage.

                                Simon Sinek always said: "people don't buy what you have, but why you have it". And that is exactly why I think bunq will succeed in their mission because everything they do is build up from the Why. That even sets them apart from the average fin-tech I think.

                                I'm very happy that bunq is able to finance it on their own. Nothing is more killing then a stockholder that is pressing bunq to get shortterm. results.

                                So, lets not take to much about the number but more on how great bunq is... so the positive vibe will spread :)

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