EXCLUSIVE—If fintechs want to land a successful partnership with a financial incumbent, understanding the regulatory atmosphere of the industry is crucial, Steve Smith, CEO of Finicity told Bank Innovation.
When it comes to collaboration with FIs, Smith said, showing a willingness to work within, or at the very least a willingness to grasp regulatory principles, can go a long way towards a bank viewing a fintech as a serious partner.
“When we took the step to become a CRA, given the work we’re doing with credit decisioning, the feedback from larger financial companies was that this was a very mature approach,” Smith said. “It indicates that we’ve acknowledged that this industry is regulated, and that we take [financial services] very seriously.”