The agency’s biennial survey showed gradual improvement in access to mainstream banks, but over 14 million adults lack ties to a federally insured institution.
Frank Sorrentino, CEO of ConnectOne, says bankers who are unwilling, or unable, to invest in technology upgrades may have to find buyers as competition heats up.
The bank will still use GoTo, an app consumers can use to communicate with a personal banker, but no longer own the Pivotus subsidiary that created it.
The $380-billion asset company will soon join the parade of big banks and tech companies that are migrating online to meet the demands of business owners.
Banks should work to shield some customers who may otherwise be flagged or blocked by AI-powered safeguards, and consider using alternative data to expand services to the underbanked.
Executives are reluctant to pull back on their big investments in technology, arguing they must stay competitive and that they have flexibility in other areas to trim costs if growth begins to stagnate.
The Minneapolis company, which reported strong profits but 1% loan growth, is hiring middle-market bankers in New York and launching a digital lending platform aimed at small businesses.
The San Antonio bank will refer customers seeking small-business loans to StreetShares, a financial startup that is similarly focused on serving veterans of the U.S. military.
