Marcel van Oost’s Post

51% of Bankers Expect FedNow Payments to be Profitable within Three Years Finzly’s Booshan Rengachari believes these concerns are an indicator that a shift in perspective is needed. “Banks continue to treat instant payments as a product, and that’s the bigger problem,” said Rengachari. “We must think from the customer’s perspective and offer different options: some want to move money within an hour and pay a higher fee, others want to move the money in 24 hours to pay a lower fee, and still others are willing to wait four days and pay no fee. The customer will start paying for the experience, not for the payment.” https://lnkd.in/eUgpgQtg Aarthie Ramachandran Michael Dowling Vijay Vardhan Mahesh Subramanian Emily Littlejohn #FFNews #Fintech #Finance #Banking #Paytech #Payments #Insurtech #Insurance

Finally got the time to go through Ron Shevlin's 2024 What's Going On In Banking report. Lots of great data for those in banking: ⤵⤵⤵ ➡ Banks and credit unions both expect fintech partnerships to be a driver of growth in 2024. 70% of bank executives and 80% of credit union executives expect the partnerships to be at least a moderate driver of growth, compared to 68% of bank executives and 72% of credit union executives in 2023 ➡ And it does not appear to be all talk, with bank and credit union execs expecting to invest more in fintech partnerships. Banks expect to invest $1.35Mn in 2024, up from $1.01Mn in 2023 (but well below $2.98Mn invested in 2022). Credit unions expect to invest $1.03Mn in 2024, up from $0.88Mn (but below $1.19Mn invested in 2022) ➡ Bank execs' most important objectives for fintech partnerships were creating new products/services, increasing deposit account volume, and reducing opex ➡ Credit union execs' most important objectives for fintech partnerships were improving deposit account opening productivity, increasing loan volume, and reducing fraud losses Check out the full report, link in comments: ⤵⤵⤵

Real-time payments have been top of mind for many financial institutions. But, as American Banker and Fintech Nexus point out, there’s been a lag in adoption. Why? We believe it ultimately comes down to resources to implement. Real-time payments require input from multiple stakeholders within the banks and rarely do the stars align where everyone has capacity to work on the project. This shrinks the participation pool considerably; inadvertently de-incentivizing banks to participate even more. For there to be more adoption, we in the fintech space have to continue to work to remove barriers for banks to adopt innovative solutions, like real-time payments. Read more: https://bit.ly/3UxcBO5

A great article by Chris Nichols on how instant payments impact deposit performance. I like this quote, which really seems a statement of the obvious, “Unsurprisingly, the less payment friction introduced, the more money will flow in and out of the account.” https://lnkd.in/e-XG_DaN. #Banks #BankMarketing #Payments

The average consumer has 5.3 bank accounts. Now that the Consumer Financial Protection Bureau has issued a final rule on data sharing, the age of open For daily news and analysis subscribe to the https://lnkd.in/gR8aX8zJ newsletter. #FinTech #Payments #Finance

United Bank of Southwest Alabama & Northwest Florida Selects Jack Henry to Modernize Technology Stack and Drive Growth “Regions like southwest Alabama and northwest Florida need resilient banks that are community minded and can bring the power of modern banking technology to people and businesses that are in need”, says Stacey Zengel, senior vice president of Jack Henry and president of Bank Solutions. “At Jack Henry, we take pride in helping banks like United Bank continue to serve their communities, especially amidst growing industry consolidation, and stay competitive and agile in the face of increasing consumer expectations and regulatory pressures.” Mike Vincent https://lnkd.in/eR-csnhK #fintech #finance #banking #paytech #payments #fintechnews #paymentsnews

The competition for deposits isn’t slowing down anytime soon. What’s your strategy for attracting and retaining clients? According to *The Financial Brand*, only 19% of new checking accounts in the first half of 2024 were opened due to a promotional offer. This means we don’t always need to rely on incentives to win over potential depositors—instead, we need to meet them at their stage in the buyer's journey and strive to #BeBetter than the bank next door. https://lnkd.in/gFxSEJih.

Hey folks, after a break of 4 months, I am again back to writing and sharing my knowledge on payments, fintech and banking. Today, let's talk about The Hidden Power of Money: How Fractional Reserve Banking Stimulates the Economy In this system, banks only keep a fraction of their customers' deposits on hand and lend out the rest. This approach allows banks to expand the money supply and fuel economic growth—but it’s not without its complexities. Let's dive right in to understand more. https://lnkd.in/gp2HXc9p

🌊 Are You Ready for the Historic Deposit Term Tsunami? 🌊 Excited to share my latest article on The Financial Brand! 📝 As the banking landscape evolves, understanding and preparing for the unprecedented shifts in deposit terms is crucial for staying ahead. In this piece, I delve into: 🔍 Key trends driving the change 📈 Strategies for financial institutions to navigate the waves 💡 Insights to enhance customer engagement and loyalty during this transformation I would like to thank Neil Stanley, Matthew Doffing, and Jason Henrichs for their insights and contributions. Read the full article here: https://lnkd.in/eUKbG24B #Banking #Fintech #CustomerEngagement #Deposits #FinancialStrategy #TotalExpert Total Expert

How can banks take control of their future? Ten years from now, a successful bank might be a platform of networks—in other words, a holding company for a collection of starkly different businesses. Despite higher profit margins due to elevated interest rates, banks are facing a critical need to reinvent their business models. This is underscored by the low market valuation of banks. Banks are increasingly losing their share in the global financial intermediary landscape to nonbank entities. These nonbanks are selectively engaging in high-profitability ventures. The complexity of banking operations, which combines distribution, transactions, and balance sheet management, is a contributing factor to their low market value. To address these challenges, banks could consider restructuring their business models. #CFO #Banking #Insurance #Finance #BankoftheFuture #Network #Platform https://lnkd.in/eEvKvFV5