Growth of responsible innovative offerings by traditional banks highlights need for clear regulatory standards promoting access, equity and transparency

New members include Lincoln Savings Bank, New Horizon Bank, Republic Bank, Stearns Bank, and TransPecos Banks

Innovative Banks offering embedded finance will join existing financial institutions in the premier industry association representing the nation’s largest and leading innovative fintech companies

Washington, D.C. (August 28, 2024) – The American Fintech Council (AFC), the premier industry association representing responsible fintech companies and innovative banks, has announced the addition of five new members representing regional and community banks committed to fintech innovation. In joining AFC, the five banks bring deep history and experience serving community needs, as well as leading fintech platforms and services that are driving unprecedented value for customers both local and national.

“We are immensely proud to welcome our five new innovative bank members, but this announcement is about far more than AFC,” said Phil Goldfeder, Chief Executive Officer of AFC. “Financial technology has been a disruptive force helping to expand access to financial services for millions, particularly underserved communities. Yet, regulators have far too often applied inconsistent and unclear standards to responsible fintech providers – failing to consider the needs of consumers and the realities of who benefits from the inclusive, transparent, customer-centric services our members provide. Adding five more responsible innovative banks to our membership, sends a clear signal that fintech is the future of finance, and the scope of responsible innovation happening across the industry is far too significant to be ignored.”

AFC has consistently advocated for a unified and pragmatic regulatory approach towards innovation. Building on its mission to develop sound public policy, AFC has engaged significantly with federal prudential regulators and made its members’ views understood across the government.

More about AFC’s five new members:

• Lincoln Savings Bank, founded 1902, is owned and managed by Iowans and offers full-service community banking and financial services, as well as fintech and Banking-as-a Service (Baas) offerings through its LSBX division founded in 2014.
• New Horizon Bank was founded in 2009 by local business owners in Powhatan, VA looking for a community-focused bank; New Horizon combines traditional banking with technology and innovation that anticipate community needs.
• Republic Bank has served Chicagoans since 1964; in addition to traditional bank offerings, family-owned Republic Bank is the payments and fintech partner for Fortune 500 companies, national retailers, and nationwide auto insurers.
• Stearns Bank was founded in Minnesota in 1912 and has since grown to serve customers in Arizona and Florida; in 2021, Stearns entered the embedded finance and BaaS spaces with a continued focus on expanding access to responsible credit and capital.
• TransPecos Banks offers a full range of banking products as well as fintech services concentrated in the TransPecos region of West Texas and San Antonio; founded in 1928, TransPecos Banks embraces technology and innovation to better serve local communities and businesses.

A standards-based organization, AFC is the premier trade association representing the largest financial technology (Fintech) companies and innovative BaaS banks. AFC’s mission is to promote a transparent, inclusive, and customer-centric financial system by supporting responsible innovation in financial services and encouraging sound public policy. AFC members foster competition in consumer finance and pioneer products to better serve underserved consumer segments and geographies.