Reduce liability for losses on commercial accounts by adhering to four requirements.
ProfitStars’ LendingNetwork Added to ICBA Preferred Service Provider Program
Feb 25 - Jack Henry & Associates Inc. (NASDAQ:JKHY) is a provider of technology solutions and payment processing services primarily for the financial services industry. Its ProfitStars division has announced the addition of LendingNetwork to the Independent Community Bankers of America Preferred Service Provider program.
ProfitStars’ LendingNetwork offers alternative financing from more than 50 commercial lenders, enabling financial institutions to refer lending opportunities that do not meet in-house funding criteria or require special products to the network of lenders. The LendingNetwork partners assume all loan risks while the bank retains the deposit relationship and the opportunity for a future credit relationship with that customer. With this model, financial institutions expand their suite of products and provide assistance to small and new businesses that do not meet traditional underwriting standards but need help meeting financial obligations.
Gray Goldsmith, senior vice president of Roanoke, Va.-based Valley Bank, said, “We have used the LendingNetwork extensively as a source for temporarily relocating challenging credits. It is also a great business development tool to attract prospects that wish to deposit locally that we cannot lend to directly. We have earned meaningful referral fee income from this partnership.”
The LendingNetwork supports loan options for accounts receivable, inventory, equipment, commercial real estate and debt. It enables banks to provide funding that they cannot directly offer.
Dan Clancy, ICBA executive vice president of services, added, “Small business lending is the bread and butter of community banks, so maintaining those relationships are critical. ProfitStars’ LendingNetwork enables community banks to extend viable financing options they would not have been able to previously, and provides assistance in managing the risk associated with the business’ growth.”
According to David Foss, president of ProfitStars, “LendingNetwork is a strategic solution enabling ProfitStars to meet the critical and evolving business needs for ICBA member banks. LendingNetwork supports key banking relationships that should not be lost to community institutions. So, we are pleased with the potential these banks now have to reach this segment and improve their own capital positions.”
This agreement adds LendingNetwork to the remittance, small business lending, remote deposit capture, website design and hosting, and security services ProfitStars already provides ICBA member banks at exclusive discounted rates. Select ProfitStars solutions have been ICBA preferred services since 2005.
As a diverse, global division of Jack Henry & Associates, ProfitStars combines JHA’s solid technology background with the latest breakthroughs in five performance-boosting solution groups – financial performance, imaging and payments processing, information security and risk management, retail delivery, and online and mobile. Explore the power of ProfitStars-enhanced performance at www.profitstars.com.
About Jack Henry & Associates, Inc.
Jack Henry & Associates, Inc. (NASDAQ: JKHY) is a provider of computer systems and electronic payment solutions primarily for financial services organizations. Its technology solutions serve more than 11,900 customers nationwide, and are marketed and supported through three primary brands. Jack Henry Banking supports banks ranging from de novo to mid-tier institutions with information processing solutions. Symitar is the leading provider of information processing solutions for credit unions of all sizes. ProfitStars provides best-of-breed solutions that enhance the performance of domestic and international financial institutions of all asset sizes and charters using any core processing system, as well as diverse corporate entities. Additional information is available at www.jackhenry.com.