Pidgin, the payments ecosystem, has been selected by ICBA Payments, the payments subsidiary of the Independent Community Bankers of America (ICBA) as a new partner to facilitate instant payments for community banks across the US.
In a LinkedIn post, Rebeca Romero Rainey, CEO and president at ICBA and community bank advocate, explained the importance of community banks in the US. “16.3 million people in roughly one in three US counties would have limited or no physical access to mainstream banking services without the presence of community banks. Rising industry concentration puts many American communities in jeopardy of losing access to financial services.”
Both consumers and merchants can benefit from community banks because of low numbers of uninsured deposits and successful loan applications and experiences respectively. The speed of payments from community banks is another big reason for their rising popularity.
Nick Denning, senior vice president, head of product and strategy, ICBA
Delving into the impact of payment speeds, Nick Denning, senior vice president, head of product and strategy, ICBA said: “The demand for faster payments continues to grow. While many community banks are connected to the FedNow network, most are still in a receive-only capacity.”
Pidgin’s impact
This is where Pidgin can help. The platform serves as a single solution to send and receive faster payments directly from customer accounts with payments routed directly between financial institutions. The company’s technology serves as a central connection point to the FedNow Service and other faster payment networks. This enables community banks to easily deliver instant payment options to their customers for a variety of use cases.
Since the platform eliminates the need to use a holding account by a third-party provider or a virtual wallet, Pidgin facilitates a safer, more secure transaction.
Denning continued: “Pidgin’s proven track record and ThinkTECH Accelerator alumnus status make them an ideal partner for helping community banks accelerate the adoption of instant payments and enhance service delivery to their customers and communities.”
Abhishek Veeraghanta, founder and CEO of Pidgin
Pidgin continues to gain traction in the community banking space, having partnered with Community Bankers’ Bank, Exchange Bank, U.S. Century Bank, and several others in the last year. In addition to its rapidly growing client base, Pidgin was also selected to participate in the ICBA ThinkTECH Accelerator programme. Over the years, this has connected fintech companies in the world with more than 1,400 community bankers and industry leaders.
“ICBA Payments has long been committed to serving community banks as they navigate the ever-changing payments landscape,” said Abhishek Veeraghanta, founder and CEO of Pidgin. “We are proud to partner with such an esteemed organisation and look forward to what we can accomplish together to supercharge real-time payments adoption and help community banks remain responsive and competitive in today’s fast-paced market.”
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