Spain’s Santander, one of the biggest lenders in Europe, is expanding its footprint in the United States with the launch of Openbank, its digital banking platform.
Santander said Openbank will allow the bank to provide its services nationwide while complementing its existing network branches in the Northeast. The digital bank promises to offer U.S. customers “a competitive high-yield savings product, as well as an intuitive, secure, and seamless customer experience.” The yield is expected to come at a highly competitive 5.25% mark.
Openbank launch sets the foundation for Santander’s further expansion to the US market. The bank intends to offer a number of other products in 2025, allowing it to provide full banking services like in Europe.
“Openbank is one of the most advanced digital banks in Europe, with a complete value proposition that has been successfully tested across various markets. Our goal is to offer U.S. customers the best high-yield savings account through a digital-first service, which is fast, simple with a competitive rate, and a superior customer experience accessible anytime, anywhere,” Petri Nikkilä, Global CEO of Openbank, said in a press release.
In a subsequent interview with Reuters, Santander US CEO Timothy H. Wennes said that the move would also help the bank to provide funding for its auto lending assets while expanding its presence in the U.S. retail business.
Openbank was originally launched in 1995 and is now the biggest digital banking platform in Europe, with a reported 18.5 billion euros ($20 billion) in deposits. Santander recently expanded the brand into South America, with an introduction to Mexico expected to come soon.