SCOTTSDALE, Ariz.–A new survey finds financial institutions and fintechs are “reasonably satisfied” with their overall relationships with each other, but there are aspects that each would like to see improved.
The report, “Financial Institution & Fintech Relationships: From Both Sides of the Table,” is based on the survey conducted by Cornerstone Advisors.
“In reality, there will be far fewer banks and credit unions in 10 years — and those that survive will become future-ready sooner rather than later,” the report states. “Increasingly, that means drawing up agreements with fintechs as full-fledged partners, rather than seeing them as off-the-shelf vendors or competitors honing-in on the traditional turf of financial institutions.”
Cornerstone Advisors said it found fintechs lament a “lack of cogent performance management on the part of their financial institution customers,” often viewing bank and credit union business leaders as “disengaged from the collaborative process.” In the survey the fintechs outline what they would like to see from FIs.
Yearning for Commitment
For their part, financial institutions “yearn for credible roadmap commitments, better product support, more fintech executive involvement with their institutions and more coherent best practices applied specifically to them.”
“It’s like any marriage,” says Cornerstone Senior Director Sam Kilmer in the report. “When you ask how it’s going, the marriage is great. But if you peel back the onion and ask about taking out the garbage or doing the dishes, reactions are a little more critical. It’s not a deal-breaker; it’s the difference between needing a divorce lawyer or a marriage counselor.”
To obtain a copy of the report, go here.