Penny Crosman

The neobank, which posted losses and burned through capital in its first year, has received a huge funding boost. That's raising questions about the depth of Varo's struggles and whether regulators and investors hold challenger banks and traditional banks to different standards.

The bank's technology team was trying to figure out how to develop a system similar to the respected software program of Brown Brothers Harriman's investor-services unit. Now that State Street is buying that same unit, it can drop the project.

The startup Digits has developed a search engine that combs the books of small companies to size up their finances. But to give clients a real-time snapshot, it seeks bank partners that will provide checking and credit card account information.

The North Carolina bank says the new system, which took one year to implement, will make it easier to compete with challenger banks and customize digital banking services for doctors' offices, dental practices and other small businesses.

It’s been going on in Europe for some time, but more U.S. banks are working with retailers, health care providers and other companies behind the scenes to offer loans, cards and other financial services.

Finance that relies on smartphones and smart contracts can lower costs for banking services and promote financial inclusion, proponents say. But a look at who is using the technology tells a different story.

Carol Juel, the bank's tech and operations chief, is pushing the use of agile concepts across the organization. Here's how her efforts are paying off in developing new products, speeding up team meetings and even helping employees schedule their kids' activities.

The Los Angeles credit union started out by creating a self-service bot it named Royce. CEO David Tuyo discusses Royce's contributions and other ways artificial intelligence is improving efficiency.