I’m thrilled to sit down with Priya Jaiswal, a distinguished expert in banking, business, and finance, whose deep knowledge of market analysis, portfolio management, and international business trends offers invaluable insights into the evolving landscape of financial institutions. Today, we’ll explore the challenges and opportunities facing banks like Evolve Bank & Trust, particularly under new leadership, delving into topics such as regulatory hurdles, fintech partnerships, rebuilding trust, and the path toward sustainable growth. Let’s dive into this engaging conversation about the future of banking.
What inspired you to take on leadership roles in the banking sector, especially with institutions facing significant challenges?
Thank you for having me. My passion for banking stems from the opportunity to solve complex problems and drive meaningful change. I’ve always been drawn to institutions at a crossroads because that’s where the real impact happens. My background in regulatory oversight and financial restructuring has equipped me to navigate tough situations, whether it’s stabilizing operations or rebuilding trust with stakeholders. Every challenge is a chance to create something stronger, and I thrive on that.
How do you assess the current struggles of banks like Evolve compared to past experiences with distressed financial institutions?
Banks like Evolve are dealing with a unique blend of traditional banking issues and modern fintech-related complications. In the past, challenges often centered around asset quality or capital shortages, but today, third-party partnerships and technology integration add layers of complexity. The core lesson I’ve carried forward is the importance of transparency and swift action. Identifying the root cause—whether it’s operational or relational—and addressing it head-on is critical, just as it was in my earlier roles managing resolutions.
Fintech partnerships have been a double-edged sword for some banks, with issues like inaccessible customer funds making headlines. How would you approach stabilizing such relationships?
Fintech partnerships can be incredibly innovative, but they require robust oversight. If I were in a position to address this, I’d start by ensuring clear agreements on roles and responsibilities, especially around customer fund management. For customers unable to access their money, immediate communication and interim solutions are key—whether that’s setting up emergency access or working with regulators for relief. Long-term, I’d focus on vetting partners rigorously and building redundancies to prevent such crises, ensuring the bank remains a trusted intermediary.
Regulatory enforcement actions often put banks under intense scrutiny. How do you interpret the impact of such actions on a bank’s operations and reputation?
Enforcement actions are a wake-up call. They signal specific areas—often risk management or compliance—where a bank has fallen short, and they demand immediate attention. Operationally, they can slow down innovation as resources shift to remediation, but they also provide a roadmap for improvement. Reputationally, it’s a hit, no doubt, but it’s also an opportunity to show accountability. By addressing the issues transparently, a bank can demonstrate commitment to doing better, which is often the first step in regaining public and regulatory confidence.
Rebuilding trust with regulators seems to be a cornerstone for turning things around. What strategies would you employ to foster that trust?
Trust with regulators is built on consistency and openness. It’s about showing up with data, plans, and progress reports before they even ask. In practical terms, that means over-communicating—sharing both the good and the bad, and never hiding issues. I’ve seen this work in past turnarounds where we invited regulators into the process, sought their feedback, and acted on it quickly. It’s not just about compliance; it’s about proving you’re a partner in maintaining the integrity of the financial system.
There’s a perspective that regulatory pressure can steer banks toward positive change. How do you see that playing out in the context of heightened scrutiny today?
Absolutely, regulatory pressure can be a catalyst for transformation. It forces banks to reassess their practices, strengthen risk controls, and prioritize customer protection—areas that might otherwise be deprioritized in pursuit of growth. I’ve seen banks emerge from scrutiny with tighter operations and better reputations because they were pushed to address systemic weaknesses. For a bank under the spotlight today, this could mean a renewed focus on sustainable models over rapid expansion, ultimately creating a more resilient institution.
Transparency and sustainable growth are often highlighted as goals for banks in transition. How would you define and achieve those in a practical sense?
Transparency is about clarity—making sure customers, partners, and regulators understand how decisions are made and where funds are held. Practically, that could mean regular public updates, simplified terms for users, and accessible support channels. Sustainable growth, on the other hand, is about balancing innovation with stability. It’s tempting to chase quick wins, but I’d prioritize building a foundation—whether through diversified revenue streams or stronger internal controls—that can weather future storms. It’s a long game, but it pays off.
What is your forecast for the future of banks navigating fintech partnerships and regulatory challenges?
I’m cautiously optimistic. The fintech space is still maturing, and while the growing pains are evident, I believe we’ll see more standardized frameworks for partnerships emerge over the next few years. Regulatory challenges will persist, but they’ll also drive innovation in compliance tech and risk management. Banks that adapt—those that prioritize trust, invest in robust systems, and align with regulators—will not only survive but thrive. The ones that resist or cut corners, though, will struggle to keep up. It’s going to be a defining decade for the industry.
