First Carolina Bank in Raleigh has a new deposits partnership with BM Technologies in Radnor, Pa.
The $2.2 billion-asset First Carolina said in a press release that it will be the exclusive provider of deposit accounts for BankMobile’s higher education program. First Carolina, which is exempt from interchange caps under the Durbin Amendment, should add $525 million of deposits once it onboards BankMobile’s customers.
The BankMobile program primarily provides students with bank accounts and debit cards that lets them directly receive funds from financial aid, grants and scholarships from their college or university.
“Our bank is committed to bringing greater access, convenience, stability, and ultimate financial literacy to students, and being involved in this program allows us to further that mission,” Ron Day, First Carolina’s president and CEO, said in the release. “In partnering with BMT, we are matching our strategic intent by aligning with the best in the business.
The agreement requires regulatory approval.
Wedbush Securities and Covington & Burling advised First Carolina.
BM Technologies said it signed a separate deposit processing servicing agreement with Customers Bancorp for its existing and biggest Banking-as-a-Service (BaaS) partnership deposits.