MainStreet Bankshares in Fairfax, Va., is in the process of bringing on its first Banking-as-a-Service customer.
The $1.8 billion-asset company said in a press release that Avenu, its BaaS division, plans to go live with the initial beta customer in the fourth quarter.
“Our focus is to help fintechs manage risk and meet compliance obligations as they accept and facilitate payments, and there is no cutting corners on this important work,” Todd Youngren, Avenu’s president, said in the release. “Over time, as we move through the beta stage, we anticipate that onboarding will be streamlined into a 60-day process.”
As of March 31, Avenu had 10 fintechs lined up at various stages of progress, including four that have indicated they plan to proceed as soon as the beta process is complete. The prospects include entities that serve the domestic needs of foreign nationals and entities that serve the education and nonprofit industries.
The division brought in $61 million in noninterest bearing deposits and $253,000 in noninterest income in the first quarter.