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Finzly Helps Banks of All Sizes Enter Embedded Banking Market

Finzly has launched a new solution designed to help banks of all sizes participate in the embedded banking market.

The new Account Galaxy includes virtual account and virtual ledger capabilities, the provider of modern money movement systems to financial institutions said in a Thursday (April 4) press release.

“With Account Galaxy, banks can cost-effectively enable the integration of banking services into corporate systems and non-bank platforms, unlocking new opportunities for growth and innovation,” Booshan Rengachari, founder and CEO of Finzly, said in the release.

Account Galaxy incorporates Finzly Connect’s preintegrated application programming interfaces (APIs) to support virtual account creation and management, according to the release.

The virtual accounts are backed by a virtual ledger, so that they can coexist with existing cores and a high volume of new accounts can be created without overwhelming existing systems, the release said.

Account Galaxy also incorporates Finzly’s ISO 20022 native platform, so it provides improved transaction visibility, enhanced system interaction and seamless data transfer from platforms to virtual accounts, per the release.

One bank that is working with Finzly to participate in the embedded banking market is Pennsylvania-chartered Quaint Oak Bank, which is using the company’s Connect APIs to enable embedded banking for FinTech partners and respondent institutions, according to the release.

“Participating in the emerging embedded banking business is an important part of our growth strategy,” William Gonzalez, executive vice president and chief operating officer of Quaint Oak Bank, said in the release. “Finzly’s platform and tools are accelerating our speed-to-market entry and enabling us to compete better.”

PYMNTS Intelligence has found that 25% of bankers view banking-as-a-service (BaaS) technology solutions as a crucial opportunity to grow revenue.

Developing in-house BaaS solutions might work for large financial institutions with dedicated and digitally fluent staff, but most businesses will need to partner with technology providers to implement BaaS features, according to “How BaaS Can Help FIs Win More Customers,” a PYMNTS Intelligence and Galileo collaboration.

In another project, Finzly helps financial institutions launch new payments infrastructure in a matter of minutes, enabling them to start processing instant payments, Rengachari told PYMNTS in an interview posted in April 2023.