ModernFi Announces Partnership with Tru Treasury to Support Credit Union Growth in Business Banking

August 29, 2024 | Company Announcement

ModernFi is thrilled to announce our partnership with Tru Treasury to deliver transformative balance sheet management tools for credit unions. This collaboration equips credit unions to navigate the complexities of business banking and secure high-dollar accounts with extended NCUA insurance.

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ModernFi CUSO, which operates the first-ever deposit network for credit unions, is thrilled to announce our partnership with Tru Treasury, the preeminent provider of credit union treasury services, to deliver transformative balance sheet management tools empowering credit unions to compete in business banking. This collaboration provides the credit union ecosystem with a comprehensive suite of treasury management solutions, enabling deposit and member growth with high-dollar business accounts.

Business and commercial shares and deposits have become a key segment for credit unions. Commercial deposits doubled as a percentage of total deposits between 2015 and 2023, from 2.2% to 4.4%. The ModernFi and Tru Treasury partnership equips credit unions with the tools and resources necessary to navigate the complexities of business banking.

“For years, we have been searching for a deposit network to add to our offerings and were thrilled to find ModernFi,” stated John Ballantyne, CEO of Tru Treasury. “Our broad range of treasury solutions combined with ModernFi’s industry-leading deposit network significantly enhances the financial infrastructure available to credit unions, positioning them to win in the competitive business banking market.”

Through ModernFi’s deposit network, credit unions can offer accounts with millions in extended NCUA insurance,* offering a non-rate proposition to attract and retain deposits. Business accounts typically hold balances above the standard federal insurance limit to cover payroll, bill payments, and other liabilities. As credit unions continue to drive deposit growth, extended insurance plays a key role in creating long-lasting, sticky relationships with these large-value members.

Tru Treasury is the market-leading provider of treasury management solutions and consulting services. By providing strategic insights and advanced financial tools, Tru Treasury helps credit unions optimize their treasury operations and expand their business banking capabilities. The partnership with ModernFi introduces a holistic suite of solutions that historically has not been available to credit unions.

“As credit unions face one of the most competitive deposit environments in recent memory, ModernFi’s partnership with Tru Treasury provides credit unions an innovative solution to manage their balance sheet needs and offer members value through access to millions in insurance,” said Michael Mutscheller, Head of Business Development at ModernFi. “Backed by ModernFi and Tru Treasury, credit unions can perform the services required by modern businesses and offer a compelling breadth of solutions tailored to their needs.”

By leveraging the combined strengths of ModernFi and Tru Treasury, credit unions can optimize their financial operations, attract and retain large deposits, and deliver superior services to their members. Together, ModernFi and Tru Treasury are committed to driving innovation and supporting the mission of credit unions nationwide.

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About ModernFi

ModernFi empowers financial institutions of all sizes to better serve their communities. Through ModernFi, banks and credit unions can grow, retain, and manage their deposit base by sourcing deposits, sweeping funds, and providing additional security to depositors. Founded by a team of veterans from technology and finance, 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/cuso.

About Tru Treasury

Founded in 2020, Tru Treasury is the first full-service treasury management CUSO, established to support community financial providers. Tru Treasury empowers credit unions with cutting-edge treasury management capabilities, enabling them to better serve their business members. By offering a comprehensive range of services, including payables, integrated receivables, and liquidity management, Tru Treasury provides the tools and expertise necessary for credit unions to optimize their treasury operations. Find out more at trutreasury.com.

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* Insurance is provided through program credit unions (subject to certain conditions)

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

Certain information contained herein constitutes “forward-looking statements,” which can be identified by the use of forward-looking terminology such as “may,” “will,” “should,” “expect,” “anticipate,” “project,” “estimate,” “intend,” “continue,” or “believe,” or the negatives thereof or other variations thereon or comparable terminology. Due to various risks and uncertainties, actual events, results or actual performance may differ materially from those reflected or contemplated in such forward-looking statements. Nothing contained herein may be relied upon as a guarantee, promise, assurance or a representation as to the future.

Except where otherwise indicated, the information contained in this communication is based on matters as they exist as of the date of preparation of such material and not as of the date of distribution or any future date. Recipients should not rely on this material in making any future investment decision.