Robinhood Will Retool Checking Product Following Scrutiny
1–10 of 103 posts
Re: Robinhood Will Retool Checking Product Following Scrutiny
#2Somebody from Robinhood's legal team either said "yeah, the SPIC will totally be okay with this" or management ignored any advice to the contrary, whichever it was those people need to pull their heads out of their asses. Even Schwab, an investor bank, has insurance from the FDIC for their deposit (and sweep) accounts - if they could have gotten away with just SPIC coverage don't you think they would have?
Re: Robinhood Will Retool Checking Product Following Scrutiny
#3“However, we realize the announcement may have caused some confusion.“
Gotta love corp-speak. “We lied our asses off but didn’t realize you’d catch on so fast.”
Re: Robinhood Will Retool Checking Product Following Scrutiny
#4So no one actually did their due diligence before announcing the product. I’m quite shocked that a ~$6 billion company can behave this way.
Re: Robinhood Will Retool Checking Product Following Scrutiny
#5Don't want to be too salty, but it seems an attempt to shut the 3% checking threat down by big institutions.
Re: Robinhood Will Retool Checking Product Following Scrutiny
#6Don't want to be too salty, but it seems an attempt to shut the 3% checking threat down by big institutions.
It doesn't seem like that to me. It seems like they tried to sidestep the required regulatory hurdles to offer a real checking/savings account and got a wake up call.
Re: Robinhood Will Retool Checking Product Following Scrutiny
#7So no one actually did their due diligence before announcing the product. I’m quite shocked that a ~$6 billion company can behave this way.
"$6 billion"- there seems to be a disconnect between what some VCs say and what the market says.
Re: Robinhood Will Retool Checking Product Following Scrutiny
#8Somebody from Robinhood's legal team either said "yeah, the SPIC will totally be okay with this" or management ignored any advice to the contrary, whichever it was those people need to pull their heads out of their asses. Even Schwab, an investor bank, has insurance from the FDIC for their deposit (and sweep) accounts - if they could have gotten away with just SPIC coverage don't you think they would have?
As well as Fidelity's checking account, Cash Management Account, is FDIC insured.
This definitely feels like a case of Robinhood ignoring some advice.
Re: Robinhood Will Retool Checking Product Following Scrutiny
#9This seems to be a Rorschach Inkblot test for what people think of fin-tech/startups in general. If you want to see it as an example of a company moving too fast and being careless then you're inclined to jump on that reasoning. The same goes if you think this was a purposeful attempt to mislead the public.
Either way, what actually happened isn't public, so it's foolish to jump to conclusions.
Re: Robinhood Will Retool Checking Product Following Scrutiny
#10This seems to be a Rorschach Inkblot test for what people think of fin-tech/startups in general. If you want to see it as an example of a company moving too fast and being careless then you're inclined to jump on that reasoning. The same goes if you think this was a purposeful attempt to mislead the public. Either way, what actually happened isn't public, so it's foolish to jump to conclusions.
At the same time, it certainly is not possible to conclude that whoever was in charge of this knew what the fuck they were doing.