Neobank startup Bambu has selected FIS’s core banking platform to launch mobile-only banking services for unbanked Americans.
Through its mobile banking application, the banking startup aims to launch banking services for underbanked Hispanic and other segments of populations who currently lack access to traditional financial services.
The Hispanic market, at least for general purpose prepaid debit cards, has been a very difficult audience for providers to obtain significant traction, with the exception of Univision that to my knowledge has the most longevity in this space. However, times change, and Hispanics who have been in the United States for multiple generations have a different perspective toward financial services then prior generations.
The app offers FDIC-insured prepaid accounts, domestic and international bill payments and remittances, peer-to-peer transfers, check deposits, retail cash loading and other services. FIS banking and merchant solutions president Bruce Lowthers said: “Our Modern Banking Platform is being chosen by the largest financial institutions as well as new startups to drive their digital banking business, demonstrating the tremendous power and flexibility of the new platform.” Bambu needed a component-based core banking platform as it prepared for the launch to serve its consumer group and support its business needs. FIS claims that its platform’s cloud-native, the modular architecture will enable Bambu to launch new products to market quickly while supporting future growth.
FIS, which is typically known as one of the large core banking software providers, has made major changes to its system to become a software-as-a service (SaaS) provider. It is now as nimble as many of the smaller providers, but with proven core banking services. This makes FIS uniquely qualified to offer financial service packages for today’s modern banking needs.
The component-based, API-first and cloud-native platform will be delivered via a software-as-a-service (SaaS) model to help Bambu deploy it quickly with minimum investment. Bambu founder, chairman and CEO Douglas Quay said: “Our new platform gives us the scalability to adapt to an ever-changing fintech landscape and provide critical financial services to previously unbanked and underbanked customers via mobile devices.
“Our Bambu mobile banking app delivers a personalized consumer journey powered by cutting-edge technology.”
“We give an overlooked audience a convenient, safe and cost-effective way of handling their banking.”
Overview provided by Sue Brown, Director, Prepaid Advisory Service at Mercator Advisory Group.