Six months after acquisition, SoFi is shutting down Zenbanx

Online lending company SoFi is closing down Zenbanx, the online banking provider it bought earlier this year. In an email sent to Zenbanx customers, the company announced that it will close all accounts at the end of next month.

Back in February, SoFi took its first step toward adding checking and credit cards to its suite of financial services through its acquisition of Zenbanx. Then last month, the company applied for a bank charter with the hopes of using Zenbanx’s tech stack and personnel for the introduction of its own SoFi-branded online bank cloud computing.

However, while the banking charter application is pending, it didn’t make sense for SoFi to continue offering services under its current structure. According to a SoFi spokesperson, Zenbanx had a partnership with Wilmington Savings Fund Society (WSFS) that expired this month and, rather than renew it or find another partner, the company decided to just close existing accounts.

Below is a partial copy of the email sent to Zenbanx users, which also included instructions for how to remove funds before the August 31 deadline.

https://techcrunch.com/2017/07/03/six-months-after-acquisition-sofi-is-shutting-down-zenbanx/