• Brex logo

    Brex

  • Wires
  • Brex Bolsters Cash Offering With FDIC...

Team announcement

Brex Bolsters Cash Offering With FDIC Insurance, Adds Chief Legal Officer

Brex Bolsters Cash Offering With FDIC Insurance, Adds Chief Legal Officer, Brex

Brex, the company reimagining financial systems for growing businesses, today announced enhanced features and FDIC insurance on its zero-fee cash management account, Brex Cash. These emerge after many months of regulatory and technological investment that enable a robust, lightning fast experience for customers looking to access business banking services in today’s virtual environment.

With the general release of Brex Cash, which has been invitation-only since October, customers now have the choice to hold funds in cash with FDIC insurance, or to invest in and earn yield in Money Market Funds. “Brex Cash gives its customers peace of mind when it comes to storing and accessing their money. With today’s uncertain economic and interest rate environment, offering our customers flexibility on how to store their cash is a powerful added benefit,” said Henrique Dubugras, Brex co-founder and co-CEO.

The structure enabling FDIC insurance on uninvested cash reserves up to $250,000 is the result of a partnership with UMB. “We’re thrilled to be a part of this next exciting phase of Brex Cash, giving Brex the ability to offer their customers same day liquidity with principal protection and FDIC insurance,” said Doug Pagliaro, senior vice president and executive director of the FDIC Sweep program at UMB Bank. “This partnership aligns with UMB’s strategy of working with best-in-class innovators like Brex.”

Leveraging its proprietary technology infrastructure and significant regulatory investments, Brex offers a highly robust and fast customer experience. An enhanced, fully digital application allows businesses to get approved and receive a corporate card and Brex Cash account in under 10 minutes. Over 50% of customers today were approved instantly, while business banking incumbents typically approve customers in days or weeks. Once approved, businesses can run their banking and payment workflows entirely online through Cash, including through the mobile app. Additionally, two-factor authentication and optional approvals on every transaction are powerful features for customers looking for tight internal controls. Zero account or transaction fees, free wire transfers, and a seamless user interface have been core to the product since launch.

“Fast and reliable banking workflows are necessary for any growing company, especially in today’s environment,” says Justin Wenig, co-founder and CEO of Coursedog, a cloud education technology company. “We were initially drawn to Brex Cash by the zero fees and slick user interface. With the business environment changing so much this year, the roll out of additional features like FDIC insurance and 2FA underscore Brex's continued commitment to customer trust. Brex Cash, and its integration with Card, has completely changed the way we work—storing money and paying expenses has never been so easy.”

Brex continues to invest in building a top legal and regulatory compliance team, with a new executive hire, Katie Biber as Chief Legal Officer. Biber has legal and compliance oversight of Brex at large, including Brex's broker-dealer, Brex Treasury LLC. Most recently serving as General Counsel at Anchorage, a cryptocurrency platform and asset custodian company, Biber has a long track record of helping launch innovative products and services, in cooperation with regulators.

SOURCE: Brex

By clicking "Continue" or continuing to use our site, you acknowledge that you accept our Privacy Policy and Terms of Use. We also use cookies to provide you with the best possible experience on our website.