The Bank Slate

INSIGHTS INTO THE BANKING INDUSTRY

Customers formally ending deposit servicing pace

Customers Bancorp in West Reading, Pa., has given formal notice to end its deposit servicing agreement with BM Technologies. 


The agreement, which has been in place since January 2021, is set to end on Dec. 31. 

The $19.6 billion-asset Customers announced in January that it planned to end the relationship, noting that the move should save it $60 million a year. The company said at the time that it expected about $1.8 billion of deposits serviced by BM Technologies to run off when the agreement ends.

Customers will replace the deposits with accounts gained from the launch of its blockchain-based instant payments token. A soft launch of TassatPay in October ushered in $1.9 billion of deposits. 

BM Technologies, formerly BankMobile, was spun off from Customers in January 2021.

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