FIS Partners with Treasury Prime to Bring Embedded Finance to Small and Mid-Sized Banks
  • FIS has partnered with Treasury Prime to launch a new embedded finance offering.
  • The new solution will give FIS’ banking customers additional options for managing deposits, AP, and other critical bank processes.
  • The collaboration with Treasury Prime is FIS’ second big embedded finance play of the year, having acquired embedded finance solution provider Payrix in February.

FIS has launched a new embedded finance offering, built in partnership with Treasury Prime, to help community and regional banks take advantage of the most modern digital capabilities and create new distribution channels. The new API-based solution will give FIS’ banking customers and their business clients new options when it comes to managing deposits, accounts payable, and other key banking operations.

The new offering will also enable community and regional banks to potentially create new revenue streams by expanding their client base, especially among highly digitally-active consumers.

“Embedded finance is a growing trend in the market because it allows businesses to bring innovative ideas quickly to market by combining financial services with user experiences right at the point of need,” FIS Head of Payments Kelly Beatty explained.

A leading technology solutions provider for merchants, banks, and capital markets firms – and a Finovate alum since 2010 – FIS processes more than $75 billion in transaction value for than 20,000+ clients globally. Treasury Prime offers APIs that enable companies to embed a range of banking services onto their platforms to boost revenues, increase customer loyalty, and offer rewards. Writing about the partnership on the Treasury Prime blog, Vice President of Banking Jeff Nowicki noted that the collaboration will enable banks to focus on their core strengths “rather than trying to compete with fintechs.” The partnership will also create new opportunities for business lines or revenues “(in) the same way community banks have for ages added lenders or business banking teams to target specific segments.”

The technology already has been integrated by digital commercial bank Grasshopper. The firm, in partnership with Web 3 blockchain company HUMBL, will deploy FIS’ embedded finance services across both its consumer and commercial divisions.

“Our vision has been clear from the start,” Grasshopper Chief Digital Officer Chris Tremont said,. “We wanted to better serve the needs of fintechs, small and medium-sized businesses, and the venture community. This BaaS platform and sophisticated set of APIs allows us to leverage technology and provide an enhanced banking experience for our clients.”

2022 has been a year in which FIS has paid particular attention to opportunities in embedded finance. A Finovate alum since 2010, FIS began the year with an acquisition of embedded payments solution provider Payrix. The deal will bolster FIS’ e-commerce, embedded payments, and finance experiences for small and medium-sized merchants via SaaS-based platforms.

“The acquisition of Payrix is an excellent proof point of FIS’ ability to unlock the value of our broad portfolio of solutions as companies of all sizes rely on FIS as a destination for innovation to advance how the world pays, banks, and invests,” said FIS President Stephanie Ferris.

Photo by Laker