Neobanks catering to self-employed see influx during pandemic

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Some challenger banks that offer banking services to freelancers and entrepreneurs say demand for their services is growing as more freelancers enter the workforce, either by choice or necessity, as a result of the coronavirus pandemic.“A lot of jobs will not be coming back next year,” said Ryan Conway, head of business development at Oxygen, a digital bank meant for freelancers and contract workers, in a May interview.“As people are looking for their next employment opportunities, we think a lot of those people are going to try freelancing, and they’re going to need a bank that understands their unique challenges,” Conway said.Those challenges could include separating personal and business activities, tax planning, budgeting for an irregular income and handling payments.Lamine Zarrad, co-founder and CEO of Joust, acknowledged that many freelancers are also losing business right now.“But we see that as a short term impediment to the sector,” he said. “We’re going to have a V-shaped recovery, probably in the next eight to 12 months, where society is going to get adjusted to a new way of life and there are constant, predictable opportunities for freelancers. Then they will need tools like ours that put things …

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