The Ability to Advance Your Bank Above-the-Core

CHALLENGE: Banks need to grow but to expand their deposit gathering channels, banks are anchored by their legacy core system and often believe complex core replacement is required that would overwhelm the bank.

SOLUTION: Infinant is a technology provider solely focused on enabling banks to grow their digital and embedded finance deposit channels above-the-core. Our Interlace Banking Platform, uncouples banks from their longstanding dependency on legacy infrastructure, unlocking new products in new channels at scale.

Expand your business models without core modernization or replacement.

Coreless Banking is a transformative concept within the world of banking that aims to revolutionize how financial institutions operate. Coreless banking does not mean “Banking without a core”. Instead, it’s the shift from monolithic core system to a composable platform architected on microservices and application programming interfaces (APIs). This is also referred to as “hollowing out the core”. The other critical component to coreless banking is about adopting a platform-based approach that provides banks with the flexibility to build and customize programs on a single platform but not from a single vendor.

This approach enables a wide range of innovations, from direct banking as-a-service (BaaS) programs to the launch of digital-only brands, and even facilitates the expansion of business capabilities such as commercial sub-account management for gig economy wallets, escrow services, or rental offerings. The key distinction with coreless banking is that it’s not solely reserved for large banks; rather, it’s an approach that any bank, regardless of size, can adopt within its ecosystem.

Coreless banking in the embedded finance space.

The essence of coreless banking lies in its incremental nature. It begins with the implementation of a virtual account system, such as what Infinant offers. This system allows banks to manage customers, accounts and money flow orchestration outside of their traditional core banking systems, thereby opening up avenues for new business models and innovations.

By leveraging a virtual account system, banks can manage the creation and maintenance of accounts and money movement at a fraction of the cost incurred by legacy systems. Added to that, this solution streamlines the way banks implement new solutions, all without having to invest heavily in IT infrastructure. That’s why platforms such as Interlace significantly reduces costs. What’s more, federal banking regulators have signaled that supervisory scrutiny is expected to increase materially in 2024. Banks must maintain ownership and control. With Interlace, Banks can configure their products and accounts, along with fraud and AML controls within Interlace to launch new deposit programs and perform daily settlement to their legacy core operating accounts.

These cloud-native platforms do not require bank IT involvement and require no legacy core provider engagement. This allows banks to launch new products, in new channels and avoid the complex and expensive considerations of core replacement projects.

By hollowing out the core, banks can launch new programs with lower operating costs, improved time-to-market and reduced complexity while maintaining regulatory control.