ModernFi Announces Integration with Q2's Digital Banking Platform

June 4, 2024 | Company Announcement

ModernFi is pleased to announce a full integration of its deposit network with Q2, the first integration of its kind. Banks and credit unions can now seamlessly offer accounts with extended deposit insurance directly through Q2’s Digital Banking Platform to help grow, retain, and manage their deposit base.

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ModernFi, which operates the first integrated and API-driven deposit network, is pleased to announce its full integration with Q2’s Digital Banking Platform, via the Q2 Partner Accelerator Program. This end-to-end integration, bringing sweep and reciprocal programs directly into digital banking, aims to eliminate friction for depositors and bank operating teams and drive adoption of these crucial programs throughout the industry.

Q2 Holdings, Inc. (NYSE: QTWO) is a leading provider of digital transformation solutions for financial services. As part of the Q2 Partner Accelerator Program, financial institutions will be able to offer ModernFi’s insured sweep accounts to provide their highest-value customers extended deposit insurance via the Q2 Digital Banking Platform. ModernFi helps financial institutions strengthen the insured composition of their balance sheets and attract and retain depositors that might otherwise go to the largest banks or leave the banking sector entirely.

ModernFi’s integration with the Q2 Digital Banking Platform offers an attractive, non-rate solution for financial institutions to grow deposits and bolster the strength of their balance sheets, a top concern for both banks and credit unions. The integration is key for financial institutions that are used to running these under-utilized sweep and reciprocal programs manually through paperwork, phone calls, and emails. This historically burdensome onboarding and management process helps explain why less than half of all U.S. banks participated in reciprocal programs last year, even though those that did experienced 12 percent higher growth than those that did not.

“ModernFi is proud to partner and integrate with Q2’s Digital Banking Platform to support fully integrated insured sweep accounts,” said Brendan Quinn, Digital Banking Partnerships Lead at ModernFi. “By breaking new technical ground and bringing sweep and reciprocal programs into the modern age, we have removed the friction for depositors and operational burden for institutions, dramatically increasing the usability and adoption of these critical products. We look forward to continuing to innovate alongside our partners to help drive deposit growth and stability for financial institutions and the communities they serve.”

The Q2 Partner Accelerator is a program through the Q2 Innovation Studio that allows in-demand financial services companies who are leveraging the Q2 SDK to pre-integrate their technology to the Q2 Digital Banking Platform. This enables financial institutions to work with these partners, purchase their solutions, and rapidly deploy their standardized integrations to their customers.

“We’re excited to welcome ModernFi to the Q2 Accelerator Partner Program,” said Johnny Ola, managing director of Q2 Innovation Studio, at Q2. “Financial institutions can now access ModernFi’s deposit network to help grow deposits.”

To learn more about ModernFi and the Q2 Innovation Studio, please click below.

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About ModernFi

ModernFi empowers financial institutions of all sizes to better serve their communities. Through ModernFi's deposit network, banks and credit unions can grow, retain, and manage their deposit base by sourcing deposits, sweeping funds, and providing additional security to depositors via extended deposit insurance through network institutions. Founded by a team of veteran engineers and industry experts, the firm provides financial institutions with end-to-end deposit management built on a modern tech stack and a foundation of compliance. Learn more at ModernFi.com.

About Q2 Holdings, Inc.

Q2 is a leading provider of digital transformation solutions for financial services, serving banks, credit unions, alternative finance companies, and fintechs in the U.S. and internationally. Q2 enables its financial institutions and fintech companies to provide comprehensive, data-driven digital engagement solutions for consumers, small businesses and corporate clients. Headquartered in Austin, Texas, Q2 has offices worldwide and is publicly traded on the NYSE under the stock symbol QTWO. To learn more, please visit Q2.com. Follow us on LinkedIn and X to stay up to date.

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Disclosures:

All information contained herein is for informational purposes and should not be construed as investment advice. It does not constitute an offer, solicitation or recommendation to purchase any security, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. Past performance does not guarantee future results. The information contained herein is for institutional use only.

ModernFi Advisers LLC (ModernFi) is not a bank, nor does it offer bank deposits and its services are not guaranteed or insured by the FDIC; ModernFi allocates funds to banks that are FDIC members.

Certain information contained herein has been obtained from third party sources and such information has not been independently verified by ModernFi. No representation, warranty, or undertaking, expressed or implied, is given to the accuracy or completeness of such information by ModernFi or any other person. While such sources are believed to be reliable, ModernFi does not assume any responsibility for the accuracy or completeness of such information. ModernFi does not undertake any obligation to update the information contained herein as of any future date.

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