Jack Henry and Victor Offer Embedded Payments Platform for Regional and Community Financial Institutions to Better Support Business Customers
Jack Henry (Nasdaq: JKHY) has expanded its collaboration with Victor Technologies, launching an embedded-payments management platform to help financial institutions capitalize on Payments-as-a-Service (PaaS) market opportunities. The platform, integrated with Jack Henry's SilverLake core, allows financial institutions to offer embedded payments to their corporate clients, software companies, and fintechs through a single API.
Key features include transaction-level, near real-time reconciliation, and a single source of truth for money movement and compliance reporting. The platform supports various payment types and use cases, including disbursements, receivables, cross-border, escrow, title, and ecommerce payments. MVB Bank, Dart Bank, and BayFirst National Bank are already using the platform, which aims to help financial institutions grow low-cost deposits and non-interest fee income.
Jack Henry (Nasdaq: JKHY) ha ampliato la sua collaborazione con Victor Technologies, lanciando una piattaforma di gestione dei pagamenti integrati per aiutare le istituzioni finanziarie a sfruttare le opportunità del mercato Payments-as-a-Service (PaaS). La piattaforma, integrata con il core SilverLake di Jack Henry, consente alle istituzioni finanziarie di offrire pagamenti integrati ai propri clienti aziendali, software house e fintech attraverso un'unica API.
Le caratteristiche principali includono riconciliazione a livello di transazione, quasi in tempo reale, e una fonte unica di verità per il movimento di denaro e la reportistica sulla conformità. La piattaforma supporta diversi tipi e casi d'uso di pagamento, tra cui erogazioni, crediti, pagamenti transfrontalieri, escrow, titoli e pagamenti e-commerce. MVB Bank, Dart Bank e BayFirst National Bank stanno già utilizzando la piattaforma, che mira ad aiutare le istituzioni finanziarie a crescere in depositi a basso costo e reddito da commissioni non da interessi.
Jack Henry (Nasdaq: JKHY) ha ampliado su colaboración con Victor Technologies, lanzando una plataforma de gestión de pagos integrados para ayudar a las instituciones financieras a capitalizar las oportunidades del mercado de Payments-as-a-Service (PaaS). La plataforma, integrada con el núcleo SilverLake de Jack Henry, permite a las instituciones financieras ofrecer pagos integrados a sus clientes corporativos, empresas de software y fintech a través de una única API.
Las características clave incluyen reconciliación a nivel de transacción, casi en tiempo real, y una única fuente de verdad para el movimiento de dinero y los informes de cumplimiento. La plataforma admite varios tipos de pagos y casos de uso, incluidos desembolsos, cuentas por cobrar, pagos transfronterizos, depósito en garantía, títulos y pagos de comercio electrónico. MVB Bank, Dart Bank y BayFirst National Bank ya están utilizando la plataforma, que tiene como objetivo ayudar a las instituciones financieras a aumentar depósitos de bajo costo e ingresos por comisiones no relacionadas con intereses.
Jack Henry (Nasdaq: JKHY)는 Victor Technologies와의 협력을 확대하여 금융 기관이 Payments-as-a-Service (PaaS) 시장 기회를 활용할 수 있도록 돕는 임베디드 결제 관리 플랫폼을 출시했습니다. 이 플랫폼은 Jack Henry의 SilverLake 핵심 시스템과 통합되어 금융 기관이 기업 고객, 소프트웨어 회사 및 핀테크 기업에 단일 API를 통해 임베디드 결제를 제공할 수 있도록 합니다.
주요 기능으로는 거래 수준의 거의 실시간 조정과 자금 이동 및 규정 준수 보고를 위한 단일 진실의 원천이 포함됩니다. 이 플랫폼은 지급, 수취, 국경 간 결제, 에스크로, 타이틀, 전자상거래 결제를 포함한 다양한 결제 유형 및 사용 사례를 지원합니다. MVB Bank, Dart Bank 및 BayFirst National Bank는 이미 이 플랫폼을 사용하고 있으며, 금융 기관이 저비용 예금을 증가시키고 비이자 수수료 수입을 늘리는 데 도움을 주는 것을 목표로 합니다.
Jack Henry (Nasdaq: JKHY) a élargi sa collaboration avec Victor Technologies, lançant une plateforme de gestion des paiements intégrés pour aider les établissements financiers à saisir les opportunités du marché Payments-as-a-Service (PaaS). La plateforme, intégrée au cœur SilverLake de Jack Henry, permet aux établissements financiers d'offrir des paiements intégrés à leurs clients d'entreprise, aux sociétés de logiciels et aux fintechs via une API unique.
Parmi les fonctionnalités clés, on trouve la réconciliation au niveau de la transaction, presque en temps réel, et une source unique de vérité pour le mouvement des fonds et les rapports de conformité. La plateforme prend en charge divers types de paiements et cas d'utilisation, y compris les paiements de distribution, les créances, les paiements transfrontaliers, les séquestres, les titres et les paiements de commerce électronique. MVB Bank, Dart Bank et BayFirst National Bank utilisent déjà la plateforme, qui vise à aider les établissements financiers à accroître les dépôts à faible coût et les revenus des frais non liés aux intérêts.
Jack Henry (Nasdaq: JKHY) hat seine Zusammenarbeit mit Victor Technologies erweitert und eine Plattform für das Management eingebetteter Zahlungen gestartet, um Finanzinstitute dabei zu unterstützen, die Chancen des Marktes Payments-as-a-Service (PaaS) zu nutzen. Die Plattform, die in den SilverLake-Kern von Jack Henry integriert ist, ermöglicht es Finanzinstituten, ihren Unternehmenskunden, Softwareunternehmen und Fintechs über eine einzige API eingebettete Zahlungen anzubieten.
Zu den wichtigsten Funktionen gehören die transaktionsbasierte, nahezu in Echtzeit stattfindende Abstimmung und eine einzige Quelle der Wahrheit für Geldbewegungen und Compliance-Berichterstattung. Die Plattform unterstützt verschiedene Zahlungsarten und Anwendungsfälle, darunter Auszahlungen, Forderungen, grenzüberschreitende Zahlungen, Treuhandzahlungen, Titelgeschäft und E-Commerce-Zahlungen. MVB Bank, Dart Bank und BayFirst National Bank nutzen bereits die Plattform, die darauf abzielt, Finanzinstituten zu helfen, kostengünstige Einlagen und nichtzinsbezogene Einkünfte zu steigern.
- Expansion of collaboration with Victor Technologies to offer embedded-payments management platform
- Integration with Jack Henry's SilverLake core for transaction-level, near real-time reconciliation
- Opportunity for financial institutions to grow low-cost deposits and non-interest fee income
- Support for various payment types and use cases, including ACH, wire, and instant payments
- Early adoption by MVB Bank, Dart Bank, and BayFirst National Bank
- Only 3% of financial institutions currently offer Payments-as-a-Service (PaaS)
Insights
This collaboration between Jack Henry and Victor Technologies represents a significant move in the embedded payments space, particularly for regional and community financial institutions. The launch of this PaaS platform addresses a important gap in the market, as only
Key points to consider:
- The platform offers potential for growth in low-cost deposits and non-interest fee income, which could positively impact Jack Henry's revenue streams.
- Direct-to-core integration enhances control and visibility for financial institutions, addressing previous challenges in PaaS offerings.
- Early adoption by banks like MVB Bank, Dart Bank and BayFirst National Bank demonstrates market validation.
- The platform's ability to handle various payment types and use cases (e.g., disbursements, cross-border payments) suggests versatility and potential for wide adoption.
While this development is promising, investors should monitor adoption rates and the platform's performance in generating new revenue streams for Jack Henry. The success of this initiative could position JKHY more competitively in the evolving fintech landscape.
The technical aspects of this embedded payments platform are noteworthy:
- Integration with Jack Henry's SilverLake core allows for near real-time reconciliation at the transaction level, a important feature for risk management.
- The platform uses a single API for embedding various payment capabilities, simplifying integration for corporate clients and fintechs.
- Support for multiple payment types (ACH, wire, instant payments) and functionalities (virtual accounts, wallets) demonstrates comprehensive technical capabilities.
- The direct-to-core integration addresses previous PaaS challenges related to accounting and audit controls.
This technology stack positions Jack Henry competitively in the PaaS market. The API-first, public-cloud infrastructure aligns with modern fintech trends, potentially attracting more partners and clients. However, the success of this platform will depend on its scalability, security and ability to adapt to evolving payment technologies and regulations.
Direct-to-core integration enhances deposit and non-interest fee income potential
While many financial institutions are considering PaaS, only
Maf Sonko, Chief Operating Officer at Victor, explained, "The payments landscape is changing. Payments are increasingly a part of businesses' strategies to improve the customer experience with instant payments, wallet integrations, financing options, and loyalty programs. It's critical for financial institutions to support and facilitate this transformation. By working with Jack Henry, we are empowering more financial institutions to support embedded payments for their commercial clients. This will positively impact the growth of both financial institutions and their clients."
Financial institutions on Jack Henry's SilverLake core can now leverage Victor's embedded payments platform, allowing corporate clients, software companies, and fintechs to seamlessly embed payments capabilities through a single API. The core integration allows for transaction-level, near real-time reconciliation, safeguarding the financial institution from clients spending funds they have not yet reconciled. The platform also provides a single source of truth for money movement and compliance reporting.
Financial institutions are using the platform to serve a wide range of business entities and fintechs across a robust set of payment types. Current use cases include disbursements and receivables, as well as cross-border, escrow, title, and ecommerce payments. Using ACH, wire, and instant payments, the platform also enables virtual accounts and wallets, scales inbound payments to user accounts, and links to cards to help card users manage their balances at third parties.
William J. Hufnagel, President and CEO of Dart Bank, said, "Dart Bank is excited to be an early collaborator in this new relationship with Victor and Jack Henry. They've built a solution that has positioned us well with our fintech clients. With Victor's direct integration into our Jack Henry banking core, we maintain a high degree of oversight that helps strengthen our compliance posture with fintechs."
Larry F. Mazza, CEO of MVB Bank, said, "MVB has strategically sought to be not just a banker of fintechs but also a builder of fintechs. This includes incubating Victor as a standalone entity enabling banks to own the relationship and the tech required to support fintech partnerships in a regulatory compliant structure. This collaboration with Jack Henry positions Victor, a tech company built by bankers, as a market leader for these services."
"Jack Henry's strategic relationship with Victor aligns with our technology modernization strategy to leverage API-first, public-cloud infrastructure that keeps financial institutions at the center of payments," said Tede Forman, Vice President of Jack Henry and President of Payment Solutions. "Offering a proven, high-volume embedded payments platform creates new revenue streams while mitigating risks with the strong controls and assurance that Jack Henry is known for. Our ongoing collaboration with Victor is shaping the future of embedded payments."
About Jack Henry & Associates, Inc.®
Jack Henry™ (Nasdaq: JKHY) is a well-rounded financial technology company that strengthens connections between financial institutions and the people and businesses they serve. We are an S&P 500 company that prioritizes openness, collaboration, and user centricity – offering banks and credit unions a vibrant ecosystem of internally developed modern capabilities as well as the ability to integrate with leading fintechs. For more than 48 years, Jack Henry has provided technology solutions to enable clients to innovate faster, strategically differentiate, and successfully compete while serving the evolving needs of their accountholders. We empower approximately 7,500 clients with people-inspired innovation, personal service, and insight-driven solutions that help reduce the barriers to financial health. Additional information is available at www.jackhenry.com.
About Victor Technologies, Inc.
Victor Technologies, Inc., ("Victor") is a wholly owned subsidiary of MVB Edge Ventures, Inc., ("MVB Edge Ventures") and a part of the MVB Bank, Inc. ("MVB Bank") family (collectively "MVB"). MVB Financial Corp., ("MVB Financial") the innovative financial holding company of MVB Bank, Inc., is publicly traded on The Nasdaq Capital Market® under the ticker "MVBF." Victor provides banking technology solutions that simplify direct Bank-Fintech partnerships. Victor APIs help technology companies and corporations embed financial solutions within their product offerings and its platform tools help banks manage fintech partnerships and compliance at scale. For more information, visit www.victorfi.com.
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SOURCE Jack Henry & Associates, Inc.
FAQ
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