Ep207 – PFM: Don’t Call it a Comeback


Is PFM dead? Invisible? Or has Personal Financial Management evolved from data-driven piecharts to something more useful?

 

Joining us for today’s deep dive on PFM and Digital Money Management are:

  • Frankie Woodhead, Director of Commercial & Channels at Barclays @FTWoodhead
  • Victor Trokoudes, Founder of Plum, the first Facebook bot for automated savings @vmtrok
  • Pau Velando, GM at Strands Finance @Pau4ir

 

“For us, it’s about taking information, and transforming that information to give relevant services at the right time,” Frankie says. “It’s very easy to say, ‘You’ve overdrawn, sorry.’ What we like to do is think a week ahead. Things like Netflix, which is generally a monthly subscription, comes in a certain way. What we’ve tried to do is second guess if that payment is going to happen. Like, ‘FYI, your Netflix of £9.99 is due to come out in four days.  You might need to think about doing something different about [your spending].”

 

“The old way to consume PFM was based on charts,” Pau says. “You’ve got the pie chart, you’ve got the bar chart, the trend line telling about how your categories were instead of mixing your expenses. Today, PFM is used to trigger banking processes, to trigger a loan, to trigger a credit card subscription, to trigger a savings goal, to move some money apart.  The system is understanding how you are moving your money and how you are spending it. We’re talking about invisible PFM.  Those mobile banking apps are powered by data.  You don’t necessarily need to see it but it’s there.”

 

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