Banking as a Service

Welcome to the next era in financial services – Embedded Finance.
EMBank can enable your business to offer embedded financial services.

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Banking as a Service at EMBank

EMBank was established at the advent of open regulatory standards. We were determined to pursue our enthusiasm for developing a platform that would enable you and your customers to access financial services via a Banking as a Service (BaaS) model. Now at EMBank, you can create accounts, make payments, and get bank account information services straight from your existing offerings and products with our API-driven embedded finance platform. And it gets even better: fintechs can provide our payment and banking services to their customers. Our vision of embedded finance is all about helping fintechs bring their business models into action swiftly and smoothly.

We assist major financial institutions, corporations, and fintech entrepreneurs to bring highly unique payment services to market, backed by solid, immediate business value and strategy.

KYC & AML

EMBank strictly adheres to all directives, regulations, and the highest standards at all levels of due diligence.

Payments

EMBank offers a variety of instruments and access to a range of payment networks such as SWIFT, TARGET2, and SEPA.

Our API-Driven Embedded Finance Platform

EMBank was born at the dawn of the open banking directives. This timing predestined our passion for building a platform that could deliver a Banking-as-a-Service solution and unlock banking for you and your clients.

Our API-driven embedded finance platform allows you to offer financial services, such as creating bank accounts, initiating payments, and receiving bank account information, directly embedded into your current offers and products.

Banking as a Service Benefits

BaaS benefits for financial companies

The core value of BaaS comes from its one-of-a-kind digital nature. Financial operations are inextricably linked to every business, and streamlining these processes may result in significant benefits for all parties involved. Brands that include embedded finance on their platforms increase customer loyalty while also earning additional income from the sale of these complimentary financial products. In addition, they save money on infrastructure costs associated with providing conventional banking services.

In the financial services industry, BaaS adoption has substantial advantages for businesses that need banking services. Fintechs specializing in finance, like electronic money institutions and payment service providers, may be able to substantially decrease their costs, both in terms of money and time, by collaborating with BaaS platforms. Collaboration with BaaS platforms enables financial institutions to eliminate bureaucracy and outmoded, complex procedures, thus ushering an entirely new age in the financial services industry.

BaaS systems, in their most basic form, provide financial institutions with banking services that they may then offer to their end customers. Financial fintechs can provide banking services and transactional activities more readily because of the infrastructure offered by BaaS.

Finally, because of the two-way flow of data inside the system, financial institutions may be able to gain new insights into their customers’ buying and investing habits.

By partnering with BaaS platforms, financial institutions may reduce their expenses significantly. Both sides benefit from these types of collaborations. Furthermore, through collaboration with BaaS platforms, financial enterprises can reduce bureaucracy and outdated complicated processes, initiating a more customer-centric banking system in the sector. BaaS platforms provide insights gained through data analysis, artificial intelligence, machine learning, and other methods of AI technology. Lastly, financial institutions may get fresh insights into their clients’ purchasing and investing behaviours thanks to the two-way flow of data inside the system, while meeting the highest standards of data protection requirements.

BaaS benefits for non-financial companies

Licensed banks and non-financial companies are increasingly integrating their digital banking services directly into their products for the end customer, which is also known as Banking as a Service (BaaS).

The provision of digital banking services (including current accounts, debit cards, and mobile payment services) by non-financial businesses is now permitted without the need for a special banking license. For example, consumer loans may be offered by a used vehicle business on its own via the usage of BaaS infrastructure. This is advantageous to both the business and the customer since most of the associated banking bureaucracy is avoided.

Additional benefits of innovation may include the settlement of legacy issues and the creation of a more competitive market for such businesses. User-onboarding processes that are more convenient, compliant, and secure are made possible through BaaS platforms, which enable infrastructures that respond to changing consumer requirements. These platforms thus allow a wide variety of companies to remain convenient, compliant, and safe while providing a seamless experience for their customers.

Embedded Finance

Our single API Banking-as-a-Service (BaaS) solution will enable you to integrate our banking services easily to your platform, allowing for seamless client access to these services.

Not only will you be able to embed all our payment and banking services on your own service, but you will also be able to provide these services to your clients as well. This is what embedded finance is all about.

Get in touch to learn more about our embedded finance solution.

Banking as a Service Use Cases

Neobanks

Recently, the financial world has seen a significant increase in the number of technologically advanced financial institutions. Neobanks is one such popular newcomer. Neobanks are digital banks that solely function online, using artificial intelligence, machine learning technology, and application programming interfaces (APIs). Neobanks need to collaborate with a licensed BaaS provider in order to offer digital services ranging from establishing bank accounts to making money transfers and bill payments around the clock.

Retail Fintechs

Fintech companies have a one-of-a-kind chance to execute their financial solutions in a short period, on a small budget, and without the need for a banking license. The BaaS layer facilitates the required two-way data exchange between financial institutions and their end clients.

Commercial Fintechs

Fintechs are an essential component of the commercial banking value chain. Business clients desire and need the ability to manage corporate cash flows through actions which include making payments, receiving payments, finding and receiving information, investing money, and borrowing funds, among other things. All these services can be managed by commercial fintechs using BaaS APIs.

Frequently Asked Questions

What is Banking as a Service (BaaS)?

BaaS is a system that lets businesses offer banking services to their clients. Companies can now provide payment services and loans by implementing digital banking into their services using APIs. Other services include credit cards, debit cards, and mobile bank accounts.

How does BaaS work?

To access aBaaS platform, a digital bank, fintech, or other third-party providers (TPP) or non-banks pay a fee to a BaaS provider, like EMBank. We then make our APIs available to the non-bank business, granting them access to our systems and the information required to provide their own label of banking services or develop new banking products.

Why is BaaS a fast-growing trend?

Traditional banking services can be obsolete and expensive to operate. So, what can banks do to enhance their business model and position themselves for growth? Financial and non-financial organizations will be able to go beyond their core banking products, develop new services, and deliver more customized experiences to their clients if they can overcome outmoded legacy attitudes and embrace BaaS. As banking has entered a new age in which financial services are more integrated into clients’ everyday lives, cooperation will be essential to success. BaaS also provides new possibilities for data collection by leveraging ecosystems.

Banking as a Service vs. Open Banking

Open banking is similar to BaaS in that it allows non-bank businesses to lease banking services. Nevertheless, these two distinct models were created for specific reasons. While BaaS enables businesses to provide pure banking products via their interface, open banking allows businesses to access their customers’ data (with their permission) without transferring banking operations.

Open banking is about data accessibility and is different from BaaS. Nonetheless, TPPs may use BaaS models, in addition to open banking APIs, to incorporate banking services into their own products.

What is Platform Banking?

In platform banking, the bank owns the client and incorporates fintech services under the platform banking paradigm. Conversely, BaaS involves the fintech/non-bank owning the client and integrating bank services. By incorporating fintechs’ services into their platform, businesses can retain their clients, even if it means ceding a lion’s share of income to the fintech.

What is Open Banking?

Open banking entails connecting banks via APIs to third-party providers (TPP) and other banks, who then use data accessed via APIs to develop their own products. Open banking comes from the concept of open innovation; It is a natural consequence of technological advancements and shifting views about user data ownership.

What Is Embedded Banking?

Embedded banking is the integration of financial services within a third party platform or system via APIs. Through embedded banking, non-financial companies can greatly enhance their capabilities by offering user-friendly finance services such as cashless payment, embedded lending and buy now, pay later (BNPL) programs. Embedded banking entails a range of financial services such as embedded payments, embedded lending, embedded insurance, embedded investments, embedded card payments, and other embedded services.

What are Embedded Payments?

Embedded payments refer to the injection of transactional functions into a non-financial system. The infrastructure enables non-financial companies to conduct transactional services with ease. Paying with cash often causes customers to think twice about purchases, as they must physically be involved in the payment. In certain instances, this discomfort may be enough to make somebody rethink making a purchase. Customers benefit from embedded payments since they make the purchasing process painless. Instead of having to rummage through their wallet for cash or their credit card, a customer utilising an app with an integrated payment infrastructure simply clicks a few buttons to make their purchase.

What is Embedded Lending?

Embedded lending, also known as embedded credit, replaces the traditional lending process with a much faster and user-friendly method. It removes the need for a bank to apply for a loan and enables the company to offer lending options in its own system. Embedded lending allows customers to request and receive a loan at the moment of purchase.

What are Embedded Card Payments?

Embedded card payments emerge as an alternative way of paying through debit or credit cards. It allows businesses to issue their own branded cards. Users can then apply and receive the branded card, transfer funds onto the card and use the total amount held on the card. Issuing a branded card helps the company increase customer loyalty by enhancing its promotional and transactional capabilities.

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