First Horizon Bank Leaps into the Cloud on Finxact Core
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.