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A pair of financial technology partnerships are aiming to bring credit unions an end-to-end digital-first transformation solution and conversational artificial intelligence in the retail banking app.
Backbase, an omnichannel digital banking platform provider with American headquarters in Atlanta, and the Jacksonville, Fla.-based Finxact, a core-as-a-service platform, entered into a strategic partnership to help credit unions in their digital transformation journeys. The alliance combines Backbase's portfolio of turnkey online and mobile banking applications with Finxact's cloud native core banking platform. The combined front-to-back SaaS solution allows clients to launch a greenfield banking solution in under three months.
According to Backbase and Finxact, to survive and thrive in the digital era, financial institutions must embrace new approaches that can help their organizations transform faster and be more competitive. They indicated their end-to-end solution equips financial institutions with the essential components for successful digital-first banking: A cloud-native core, fully integrated with an omnichannel digital banking solution, powered by a modern and open architecture.
"This partnership provides banks and credit unions the opportunity to break free and reclaim control of their digital destiny. The combination enables the rapid launch of digital first greenfield bank operations by established banks and credit unions, or by new entrants in the fast-growing U.S. fintech space. Both Backbase and Finxact share the same digital first DNA," Backbase CEO Jouk Pleiter said.
Another fintech alliance concerning Finastra, which has its U.S. headquarters in Lake Mary, Fla., announced the availability of Active.Ai's conversational artificial intelligence retail banking app via its FusionStore. Credit unions can quickly deploy AI avatars to engage their members and customers 24×7 in the banking channel of their choice.
Active.Ai, which has its U.S. headquarters in New York City, helps customer support by creating intelligent virtual assistants, bringing automation and insightful customer engagement while reducing support costs. Its conversational banking technology uses advanced natural language processing and machine intelligence to enable customers to have natural dialogues over messaging, voice or IoT devices.
"Voice and messaging are greatly transforming client engagement in financial services," Ravishankar, co-Founder and CEO of Active.Ai, said. "We are already working with Finastra customers globally, and we look forward to delivering these experiences at scale using FusionFabric.cloud capabilities."
"Conversational banking is the next big thing in consumer banking, but financial institutions aren't expected to become experts in AI in order to offer these services to their customers," Eli Rosner, chief product and technology officer for Finastra said. "At Finastra, we are championing 'innovation through collaboration,' bringing our clients easy access to innovative and fully-vetted fintechs that provide the capabilities they need."
Rosner added for financial institutions, that means consuming the latest technologies available in the market that connect to the core Finastra systems through FusionFabric.cloud, a scalable, open and collaborative development platform built by Finastra. For fintechs, it is the ability to distribute their apps to the more than 9,000 financial institutions that use Finastra solutions, and implement them with ease.
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Roy Urrico
Roy W. Urrico specializes in articles about financial technology and services for Credit Union Times, as well as ghostwriting, copywriting, and case studies. Also: writer/editor of a semi-annual newsletter for Association for Financial Technology since 1997 and history projects funded by the U.S Interior Department, National Park Service and Warren County (N.Y.).
