FinTechs, just like any other firms, are constantly on the lookout for new ways to increase customer loyalty and their revenue streams.
But they’re challenged by having to partner with banks with outdated and complex systems in order to access the financial system, which makes integration extremely difficult.
Meghan Ryan, CFO of Treasury Prime, told PYMNTS that banking-as-a-service (BaaS) addresses that pain point.
At a high level, she said, BaaS can help FinTechs shorten their product development cycles.
The ability to develop new and innovative offerings and get them into the hands of end users as quickly as possible is critical, she told PYMNTS. But financial services, of course, is a heavily regulated environment, and there are any number of regulatory boxes to be checked before anything is launched.