Sponsor Bank Selection

The Challenge

The newly created company with international presence needed an ODFI sponsor to access the ACH Network. Their direct outreach stalled due to limited domain expertise regarding ACH mechanics, compliance and standard bank fee structures.

Solution context

Strategy and execution of compliance infrastructure alignment, creation of a risk mitigation package and most importantly, propagating ACH education throughout. Realigned strategy away from mega-banks to target Fintech-appropriate banks featuring specialized sponsorship programs and dedicated Fintech teams.

How E&S helped

• - Secure an ODFI partnership in 90 days

• - Captured the full financial relationship

• - Anchored the issue of regulatory compliance and risk

• - Trained the team on ACH processes

• - Educated on US negotiation of appropriate financial structure