The partnership will allow community banks and other loan purchasers to access the online lending space; it will leverage the Cross River’s expertise in capital, technology and regulatory compliance with PeerIQ’s expertise in data analytics and risk management. Geoffrey Kott, head of finance and strategy at Cross River Bank stated, “PeerIQ’s risk management platform — with its leading loan-level analytics and monitoring capabilities, credit facility management toolkit, and full integration of TransUnion data — will both augment our internal capabilities and provide best-in-class loan-level monitoring tools for our clients and partners.”; Cross River Bank currently works with many big names in fintech, including more than 15 online lenders. Source
The CEO and Founder of FS Card talks about the challenges of creating a new credit card company for the underserved. Source
The LendIt team has combed through hundreds of applications to determine the finalists in 21 categories. Source
Amazon Lending first launched in 2011 and now is partnering with Bank of America Merrill Lynch according to sources; Amazon invites sellers to the program which provides loans between $1000 and $750,000; in June, 2017 Amazon announced it had lent $1 billion over the previous 12 months; recent reports show that Amazon has slowed growth of the product in 2017 to better understand credit risks. Source
The Protecting Consumers’ Access to Credit Act of 2017 was passed by the US House of Representatives. Source
Americans continue to build up consumer debt; in the fourth quarter of 2017 consumer debt (excluding home loans) rose 5.5% from the prior year to $3.82 trillion; this a record since the Federal Reserve Bank of New York began tracking in 1999; non-housing debt was around 29% of overall debt, another record; some aren’t worried just yet with delinquencies coming off of record lows; The WSJ provides more data points on consumer debt, including various perspectives on the American consumer. Source
The UK’s Financial Conduct Authority released a report on algorithmic trading to help set boundaries around the market; the report lays out best practices and presents guidance on how firms can implement AI in trading; the FCA does voice concerns at too much automation and talks about human intervention to avoid big issues occurring; the report was written to help trading firms comply with the Second Markets in Financial Instruments Directive (MiFID II). Source.
Citi and PNC striking a deal with HighRadius is the latest example of banks forming partnerships to improve commercial payments; HighRadius has already done partnerships with Bank of America, Walmart, Johnson & Johnson, Procter & Gamble and Starbucks; HighRadius uses artificial intelligence to help automate some of the slower more paper driven processes in commercial payments. Source.
Revolut and Global Processing Services (GPS) have partnered to allow the UK based digital bank to launch their multi-currency FX app for the Asia Pacific region; Revolut will start with New Zealand, Singapore and Japan; while Revolut has moved much of their processing in house they are supported by GPS for this product. Source.