A new challenger bank for Asian Americans aims to speak their languages, reward them for shopping at Asian businesses and encourage donations to nonprofits serving their communities — all at a time when racist attacks on this group are rising.
Cheese — so named because it’s a slang term for “money” — offers a debit card and checking account to users who download the app from Apple’s App Store. They can earn up to 10% cash back at thousands of stores, including large brands such as Walmart, H Mart and Mitsuwa Marketplace, and 0.3% on deposits. The account offers early access to paychecks and does not levy monthly fees or require a minimum balance.
“I have always envisioned launching a digital bank that someone like me could easily access but that also serves a deeper purpose, with the power to positively impact Asian communities,” Ken Lian, the co-founder and CEO of Cheese, said in a news release Wednesday.
Cheese has recruited a community ambassador, the Chinese American actor and musician Jimmy Wong, to assist Asian businesses and communities suffering from racist attacks, violence and discrimination.
Hate crimes targeting Asian Americans in 16 large cities rose by nearly 150% in 2020, according to
Lian moved to the U.S. from China as an international student in 2008 and struggled to qualify for a bank account and credit card. He previously served as the CEO and founder of Moolah Science and director of business development at Honey.
Customers can navigate the app in Mandarin and reach Mandarin-speaking customer-support staff. Over time, Cheese plans to add services in more Asian languages. The digital bank won’t decline users during know-your-customer checks solely because their addresses, emails or phone numbers are new.
Cheese is one of a number of challenger banks targeting
Currently, there are 50,000 people on Cheese’s waiting list, and the account is open to public sign-up. Cheese is marketing to potential customers through channels that are popular with its target audience, such as the multipurpose mobile payment app WeChat.
Cheese is also differentiating itself with a charitable component.
The company will maintain the Cheese Giveback Fund to support nonprofits and community service programs that support Asian American businesses and neighborhoods affected by violence and economic hardship during the pandemic. The current beneficiaries are the Asia-Pacific Fund, a community foundation for Asians and Pacific Islanders in the Bay Area; Welcome to Chinatown, an initiative to support Chinese businesses in New York City; AAPI Women Lead, a group for Asian and Pacific Islander communities; and the U.S. Southwestern Chinese Students and Scholars Association.
The company announced an initial $10,000 donation to these organizations. For every sign-up between March 10 and June 10, it will add another $10 to the Cheese Giveback Fund up to $90,000. All new users will receive a $5 sign-up bonus that they can keep or to donate as well, and they can direct a portion of their cash-back earnings to the fund. Cheese will also add a penny per user purchase to the fund, with the goal of increasing this amount in the future.
For now, Cheese will earn money from interchange fees, but it plans to offer more banking products, perhaps loans and credit cards, in the future.
The $1.8 billion-asset Coastal Community Bank in Everett, Wash., provides the underlying banking services for Cheese.
