Super-regional Lender Making Moves to Compete with All-comers
Jacksonville, Fla., February 2, 2021 — Finxact, the leader in Core as a Service banking, announced today that First Horizon Bank, the regional bank based in Memphis, Tennessee, selected the Finxact core to underpin its product and service delivery through its VirtualBank brand. Following its merger with LA-based IBERIABANK in 2020, the combined entity (NYSE: FHN) has $84 billion in assets, $60 billion in deposits, and services over one million customers spanning 11 states.
Incumbent regional and super-regional banks are facing fierce competition on all flanks now coming from Tier 1 banks, bigtech, fintech, and retail. However, mid-tier banks still retain a critical advantage in their established and loyal customer bases. First Horizon chose not just to defend their base, but to grow it. By using their VirtualBank brand as an innovation ground for long term technology modernization, First Horizon will deliver technology capabilities that compete with all-comers in the marketplace while maintaining a focus on their existing client base.
“VirtualBank’s conversion to the Finxact cloud core is an important step in First Horizon’s overall efforts to modernize infrastructure and product delivery,” said Anthony Restel, Chief Operating Officer for First Horizon. “This is an opportunity to test and learn the most efficient and effective ways to serve our clients in the future.”
Finxact is a high performance, highly scalable, real-time position keeping platform that includes a comprehensive and extensible financial services model exposed as APIs. By accessing its open APIs and extensible components, banks are able to invent, curate, and launch products at the speed required to meet customer expectations in today’s marketplace.
“We are honored that the First Horizon team found in Finxact a platform that meets their demands for the level of performance, scale, and resiliency required for the next generation of banking,” said Frank Sanchez, CEO and founder of Finxact. “Our solution is uniquely suited for an institution of their size and ambitions.”
Finxact secured a $30 million strategic investment by leading banking and financial services firms in 2019 and is currently working with multiple U.S. and international financial institutions, from de novo banks to top-tier banks, on projects ranging from full core conversions to digital-only initiatives.
Finxact is innovating the first enterprise class cloud-native Core-as-a-Service platform with a 100 percent accessible open banking API. Finxact’s modern architecture enables banks to rapidly deliver new experiences by creating products on demand and integrating new services as needed. The Finxact team has been at the forefront of banking software for 35+ years, and together with its best of breed partners is disrupting core banking so financial institutions can truly transform on their terms. Learn more at www.Finxact.com.
About First Horizon Bank
First Horizon Corp. (NYSE:FHN), with $84 billion in assets, is a leading regional financial services company, dedicated to strengthening the lives of our associates, clients, shareholders, and communities. Headquartered in Memphis, TN, the banking subsidiary First Horizon Bank operates nearly 500 bank locations in 12 states across the Southeast. With more than 288 years of combined First Horizon Bank and IBERIABANK financial experience, the Company and its subsidiaries offer commercial, private banking, consumer, small business, wealth and trust management, retail brokerage, capital markets, fixed income, mortgage, and title insurance services. First Horizon is recognized as one of the nation’s best employers by Fortune and Forbes magazines and a Top 10 Most Reputable U.S. bank. More information is available at www.FirstHorizon.com.