NEW YORK, 20 October 2021 / PRNewswire-PRWeb / – Piermont Bank, a digital commercial bank based in new York, today announces the launch of BancFi, a complete and unprecedented credit platform for fintechs and their end users. Since the launch of its Banking-as-a-Service (BaaS) platform in early 2021, the Bank has signed more than 30 fintech companies as clients.
“I am very proud of what we have accomplished in a short period of time,” said Wendy Cai-Lee, founder and CEO of Piermont Bank. “The growth we have experienced since our launch in 2019 validates the hybrid digital and human banking model that we have built. We doubled the size of our assets in the first half of 2021 alone and are now at $ 347 million of total assets, which is remarkable considering we’re only two years old. “
“In addition to celebrating our current success, we are making additional investments, notably by committing $ 20 million newly raised capital in our technology and resources so that we can continue to scale at the speed of our fintech customers, ”said Cai-Lee. “In addition, to better serve the fintech ecosystem, credit products are a natural next step. We are excited to take our BaaS offering to the next level with our new BancFi lending platform. “.
By partnering with API partners such as Treasury Prime, Piermont Bank has designed a pre-launch integration and implementation process that enables real speed and scalability. The average time to launch for a fintech customer is just six to eight weeks.
“Piermont Bank has been an exceptional partner for us. They are 100% focused on working with fintechs, which means they match our startup schedules, try to find ways to say ‘yes’ instead of “No” and are constantly working to provide a better experience for the families we serve, ”said Aditi Shekar, Founder and CEO of Zeta, a financial institution for couples and families.“ From the very beginning, Piermont has evolved rapidly – taking us from our first introductory call to production in four weeks! We are delighted to continue to build a financial institution for families with them. “
BancFi by Piermont Bank is an exclusive commercial lending platform for fintechs and their end users. BancFi offers a full range of credit products, including working capital, warehouse lines, and deposit-backed credit lines for fintechs at different stages of growth. Piermont will customize the lending solution for each fintech to strengthen cash position, valuation, lower lending costs and further drive growth. The platform is currently available by invitation only and will be piloted with a select group of fintechs.
“Right now, equity is gaining importance in how start-ups pay for their growth,” Cai-Lee said. “If, as a start-up, you can borrow capital at low and efficient rates, it’s always better for the growth of your business than selling shares in your business. As the benchmark bank for fintechs, we want to offer cheaper financing options. for fintechs through innovative lending solutions. “.
“Start-ups typically fall outside the credit parameters of most banks due to a lack of positive cash flow and negative profits,” said Rodrigo Suárez, Innovation Manager at Banque Piermont. “It’s more synergistic for a bank like Piermont to offer credit solutions because we are part of the fintech ecosystem and have in-depth knowledge of the space. Since we are already supporting our fintech partners through BaaS for deposit services and payments, we have a better idea of their business and financial growth. This allows us to take well-measured credit risks that traditional financial institutions would not be able to take. “
The innovation bank, through which Piermont offers its BaaS solutions and its credit platform, plays an important role in the hyper-growth of the bank. Its Innovation Bank team added four new members, including partnership managers and engineers, in the past month and continues to hire.
“Lending is the next big focus on our BaaS product roadmap, and credit is what we as bankers know best,” Cai-Lee said.
Learn more about the next wave of disruption in fintech lending in our Capital-as-a-Service (CaaS) webinar series at November 3, 2021, To 2 p.m. EST. Register now here.
About Banque Piermont
Piermont Bank is a digital commercial bank founded in 2019 with a mission to change the face and pace of banking. Piermont is founded by women, led by entrepreneurs and strong in technology. It is also the first Multiracial Minority Depository Institution (MDI) certified by the FDIC in United States. Piermont Bank offers an unprecedented experience that combines the best of banking and agile Fintechs. TO Piermont, we provide peer banking – we meet you where you are, reflect your business needs, and act quickly. For more information visit http://www.piermontbank.com.
Wenni wu, Piermont Bank, +1 (212) 266-9215, [email protected]
SOURCE Piermont Bank