Financial Services

Financial Services: PSD2 at Scale & Neo-Bank from Scratch

How we delivered PSD2 compliance for AIB Bank's 1M+ user mobile app, then built An Post Money neo-bank from the ground up—4.5 years of production AI in Ireland's most regulated industry.

1M+
Users
4.5
Years
9
Extensions
100%
PSD2 Compliant

Project Overview

Client
An Post Digital
Industry
Financial Services
Duration
4.5 years (2020-2024)
Role
Digital Lead & Product Owner
Engagement Type
Multi-year embedded product development
Users Impacted
1,000,000+

Over 4.5 years across Ireland's financial services sector, we delivered production AI systems in the country's most regulated environments. At AIB Bank, we managed PSD2 compliance for their mobile banking app serving 1M+ users. At An Post Money, we built a neo-bank from scratch, then moved to An Post Commerce to implement AI across retail and e-commerce operations.

This case study demonstrates how we navigate complex regulatory requirements (PSD2, GDPR, Central Bank oversight) while shipping production systems that handle millions of transactions and sensitive financial data.

The Challenge

An Post, Ireland's national postal service, faced strategic pressure to diversify beyond traditional mail services as digital communication reduced letter volumes. The organization identified financial services as a growth opportunity, leveraging its trusted brand and nationwide physical presence. However, entering the banking sector presented significant challenges.

Regulatory Complexity

Needed to comply with EU's Payment Services Directive 2 (PSD2), mandating strong customer authentication, open banking APIs, and rigorous data protection standards.

Market Competition

Entered a crowded market dominated by established banks (AIB, Bank of Ireland) and emerging fintech challengers (Revolut, N26).

AI Governance Gap

Wanted to leverage AI for fraud detection and customer service, but needed explainability, auditability, and GDPR compliance built from scratch.

Stakeholder Alignment

Required coordinating across operations, compliance, IT, customer service, and external partners (banking regulators, technology vendors).

The Solution

Months 1-3

Discovery and Strategy

We began with comprehensive discovery workshops involving executives, compliance officers, IT teams, and customer service representatives. These sessions identified three strategic priorities: regulatory compliance first, mobile-first experience, and AI-powered differentiation.

We developed a phased implementation roadmap that balanced regulatory requirements with rapid market entry, allowing An Post to launch a minimum viable product within 12 months while building toward a comprehensive banking platform.

Months 3-6

Governance Framework Design

We designed a governance framework that enabled AI innovation while satisfying regulatory requirements:

PSD2 Compliance Architecture

  • Strong Customer Authentication (SCA) with biometric verification
  • Open Banking API following EBA technical standards
  • Transaction monitoring with explainable AI models

AI Governance Principles

  • Explainability: Human-readable AI decision explanations
  • Auditability: Complete audit trails for all models
  • Bias monitoring: Regular demographic bias testing
Months 6-18

Mobile Banking Platform

We led the development and launch of the An Post Money mobile app, which became the primary customer interface for banking services. The platform included current account management, peer-to-peer payments, budgeting tools with AI-powered spending insights, and foreign currency cards.

85%
Monthly active user rate
(Industry avg: 60-70%)
4.5★
iOS App Store rating
4.3★
Google Play rating
Months 12-36

AI-Powered Features

Once the core banking platform was stable, we introduced AI capabilities that differentiated An Post from competitors:

Fraud Detection System

Machine learning models analyzing transaction patterns with real-time fraud alerts and explainable AI providing clear reasons for flagged transactions.

Customer Service Automation

Natural language processing chatbot handling common banking queries, automated ticket categorization, and sentiment analysis identifying high-priority issues.

Personalized Financial Insights

AI-powered spending analysis, budget recommendations based on transaction history, and proactive alerts for unusual spending patterns.

The Outcomes

User Adoption

  • 1,000,000+ users acquired within 4.5 years
  • 85% monthly active user rate (industry average: 60-70%)
  • 4.5-star ratings across iOS and Android

Regulatory Compliance

  • 100% PSD2 compliance achieved on schedule
  • Zero regulatory fines or compliance violations
  • Successful Central Bank audits in 2021, 2022, 2023

Operational Efficiency

  • 50% reduction in customer service inquiries
  • 30% faster fraud detection vs rule-based systems
  • 40% improvement in transaction processing speed

Business Impact

  • €1 billion+ annual revenue (first time in company history)
  • 10% year-over-year growth from digital financial services
  • Market leadership in digital-first banking
9 Consecutive Contract Extensions

The ultimate measure of success: An Post renewed our engagement 9 times over 4.5 years, demonstrating sustained delivery of measurable value in a complex, safety-critical domain.

Key Success Factors

Governance-First Approach

Rather than treating compliance as a constraint, we designed governance into the product from day one. This approach enabled faster feature delivery because regulatory review was integrated into the development process rather than being a separate approval gate.

Cross-Functional Collaboration

We facilitated regular workshops bringing together stakeholders from product, engineering, compliance, operations, and customer service. This collaborative approach ensured that technical decisions aligned with business goals and regulatory requirements.

Explainable AI

All AI features included human-readable explanations for their recommendations. This transparency built customer trust and satisfied regulatory requirements for explainability in financial services.

Ready to Achieve Similar Results?

The An Post engagement demonstrates our ability to navigate complex regulatory environments, scale AI systems to 1M+ users, and deliver sustained value over multi-year engagements.