Finzly has joined the newly launched Banking-as-a-Service (BaaS) Association, according to an official press release. The association was formed by Bankers Helping Bankers (BHB), a social platform for collaboration and education on Banking-as-a-Service.

Fueled by the expansion in fintech funding and a constant supply of new startups, there aren’t enough BaaS sponsor banks to meet the growing demand for banking services from hundreds of fintechs. There is a constant demand from fintechs to process customer payments on sponsor banks with modern payment infrastructure. BaaS is a highly specialised niche and one that is seeing a tremendous increase in bank participants, largely due to a predictable fee income.

Banks can use Finzly’s platform with API middleware that processes all payment types (ACH, wires, RTP, FedNow, and SWIFT), exceptions, and returns, with direct settlement and clearing connectivity with The Federal Reserve, The Clearing House, and SWIFT payment networks. In turn, fintech customers can send payments and debit requests directly to the sponsor banks via APIs and get instantaneous responses without the need for legacy batch files and manual reconciliation. Through a single API integration, fintechs wanting to embed payment experience in their products can create an improved digital journey for their customers.