Simple was acquired today by BBVA, Spain’s second-largest bank, for a reported $117 million. The deposit of Simple’s 100,000 customers, however, are held by The Bancorp. So what will happen to Simple’s Bancorp relationship now that Simple is a part of BBVA?
Josh Reich, Simple’s CEO, in part, addressed The Bancorp relationship in his blog post on the deal:
For the time being, customer accounts will remain at The Bancorp Bank, our current banking partner. Bancorp has been a fantastic partner providing us with a platform to grow from two guys working out of a basement into the thriving business we are today. We are grateful to the entire Bancorp team for their support over the years and we are excited to work with them through this next chapter.
The key phrase here, in our view, is “for the time being.”
The Bancorp also formerly held funds for Moven, another banking startup that is often compared to Simple. While Simple does not appear to be The Bancorp’s largest client, it has arguably been its highest-profile customer. For the time being.
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