The “cash” is not dead: Banco24Horas sees a future in open banking

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“A lot has been said about my death, but I’m firm and well sheltered.” If I spoke, the “live” money, which does not have this name for nothing, would have this answer ready for any interlocutor suspicious of its longevity. Like money circulating, and faster and faster, the cash machine he didn’t die either. The network continues to expand and is increasingly digital, guarantees Jaques Rosenzvaig, general director of TecBan, which, on Friday, proudly celebrated the installation of Banco24Horas number 24,000 in the interior of Piauí.

owner of Banco24Horas and controlled by the five largest banks in the country – Itaú Unibanco, Bradesco, Santander, Bank of Brazil e Box in descending order of participation in the capital – at the age of 40, TecBan aims at the financial inclusion of Brazilians residing in places without infrastructure or in cities far from large centers. And the arrival of the ATM in José de Freitas, a municipality 48 km away from the capital Teresina, exemplifies the potential envisioned by the company.

A city ​​of Piauí was registered in 1931, but was actually born in 1741 as Fazenda Boa Esperança. And, almost 300 years later, it will have 150 financial institutions at its disposal – including small, medium and large banks, in addition to fintechs – and the offer of 90 types of financial operations.

The 24,000 installed boxes is an achievement, makes Banco24Horas a third largest in the world and the largest independent global self-service network in terms of withdrawal volume. The world leader with 200,000 ATMs is Cardtronics. In second place is the Japanese network Seven Banks, with 25,000 ATMs. At Banco24Horas, which is glued to the structure in Japan, they are held annually 2.1 billion transactions – movement equivalent to 5% of Brazil’s GDP.

“And Brazil is not even the country that has the largest amount of money in circulation. But here the money turns a lot”, says Rosenzvaig in an interview with EXAME IN. “Japan, Germany and Italy are money countries. Japan has 20% of GDP in circulation. Brazil, somewhere between 3.7% and 3.9% of GDP. Sweden, 1.7%. But Brazil is extensive and it is necessary to make the money reach where it is needed”, adds the executive.

He informs that, in addition to ATMs located in shopping malls, supermarkets, convenience stores and pharmacies, in a wide variety of commerce, Banco24Horas has three more service models.

The first advanced model is the Mobile 24 Hour Bank which is concerned with meeting the demand for money quickly in certain locations in order, in the event of accidents, to prevent the interruption of activities.

TecBan has just launched the 24-hour container, more agile because it can be easily transported by trucks. It is a high security and technology structure that holds several ATMs. The first equipment was installed in the city of Abaetetuba, no stop.

A third service model is the ATM space which is expanding. These spaces are present in Parnaíba (Piauí), Parauapebas (Pará), Belford Roxo (Baixada Fluminense), Caruaru (Pernambuco), Carapicuíba (São Paulo) and Campina Grande (Paraíba). The goal is to have installed 10 ATM spaces by the end of this year.

Media for small and medium advertisers

To EXAME IN, Rosenzvaig reports that TecBan is a shared economy company, a platform with more than a hundred participants and focused on the capillarity of financial operations. It highlights that 60% of transactions are carried out in regions of classes C-, D and E distributed in 900 Brazilian municipalities.

“Operations grow physical and digital. Currently, 50% of operations carried out at Banco24Horas are electronic, such as issuing statements, payments, transfers, loans and cell phone unlocking”, informs the executive, who draws attention to the advances obtained with the adoption of different models services adopted by the network. “We serve 80% of the population of the Amazons, a population that would not be served by ATMs due to logistical costs.”

The general director of TecBan explains that new formats for withdrawals, digital transactions and open banking to Banco24Horas, which now has a communication vehicle inside the ATMs to attract small and medium-sized advertisers from the locations where they are installed.

“With a focus on the consumer, we invest in usability, in being practical and accessible. We invest annually around BRL 500 million. In the last decade, R$ 4 billion were invested in the creation of the physical network that serves 40 million customers monthly and has national coverage of 145 million people”, informs the executive. TecBan’s revenue forecast for this year is R$ 3 billion.

This year, TecBan is investing in recyclable ATMs, which allow establishments – service providers, but especially retailers – to collect funds throughout the day without direct contact with banknotes and having credit deposited directly in a checking account. Another investment led to the implementation of the first ATM with 5G technology from Latin America, developed in partnership with Claro and Ericsson.

Retail and Data Intelligence

Makes a mistake, who thinks that TecBan only thinks about money. With 8 thousand employees, the company develops wide researches. O mapping of locations that need financial assistance and, mainly, that money circulates and promotes the activity is made by the Retail and Intelligence units. And research is not limited to official data, but involves fieldwork and knowledge of sociology, economics and technology.

“The focus is on the layers of the population that most need and do not have infrastructure next. We are very present in Brazilian capitals and major cities, but also in the most distant regions to be a link between institutions and society. And, for that, capillarity is necessary”, says Jaques Rosenzvaig, who sees TecBan’s business as a public utility service and guided by efficiency and productivity because “we want to be a ‘pool’ of financial services for all classes, age and income groups and with regional characteristics”.

bet on the new

A veteran in the banking sector, TecBan is investing to help the system adapt to open banking – of sharing registration data and customer transactions, with their consent – ​​which will enter its third phase at the end of October.

As a first step, Banco24Horas began studying, in 2018, the implementation of open banking in the United Kingdom, believing that innovation would reach Brazil. How it arrived. An operational agreement was then signed with the British Ozone who already had experience in the area. And part of the platform that Banco24Horas uses today is the one that Ozone had already created. In a second movement, the partnership with fintech was signed Keys in order to bring value to data and create ecosystems for other market participants.

The Keys – platform de open banking created in 2020 to streamline access to financial data and which has processed more than 50 million transactions – it reached the market with a baptism of gold: it was elected by the Central Bank (BC), with over 10 financial startups, to participate in the LIFT Lab (Laboratory of Financial and Technological Innovations) coordinated in conjunction with Fenasbac. For Klavi, the partnership with TecBan is a way to integrate good payers that are outside the market and foster the credit.

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