NXTsoft’s Connectivity as a Service positions Financial Institutions to Capitalize on Core Processors’ Unbundling, in Preparation for Open Banking Regulatory Requirements

Category: Data Connectivity , Press Release
Author: Karly Field

Birmingham, Ala. April 4, 2022 – NXTsoft, a company focused on data connectivity, data analytics, data management and data migration announced plans today to accelerate adoption of leveraging APIs to automate and easily access data through a zero-integration effort called Connectivity as a Service for financial institutions and FinTechs. 

With major core processors such as Jack Henry announcing plans to “unbundle” core system components, as they prepare for implementation of Section 1033 in the Dodd-Frank legislation, financial institutions can accelerate the speed of digital transformation without allocating staff and accomplishing it more affordably. As core providers separate out once amalgamated software, banks and credit unions have more flexibility than ever before to design the specific digital presence that will best serve the needs of their market.

However, though core providers may be unbundling software components and providing the openness to connect to their systems, they do not provide the actual connectivity. As the saying goes, “if you build it, they will come.” Core providers and FinTechs have built the solutions and the financial institutions want to come and take advantage, but they aren’t exactly sure how to get there. Think of NXTsoft’s Connectivity as a Service as the road that brings the two together.

Financial institutions are on a digital journey, but as they embark on that journey, they can see the destination, but no path to get there. They could build and maintain their own roads, but that would take a long time, and they are not transportation experts, they are financial experts.They could depend on the people where they are going to build the roads, but they want to go a lot of different places.  That would require working with people at each destination to create new, separate roads back to their own institution. NXTsoft’s Connectivity as a Service provides financial institutions with a fully functional transit system and a map to get them where they want to go – all financial institutions need to do is sit back and enjoy the ride.

NXTsoft’s Connectivity as a Service maps connectivity, implements connectivity, maintains connectivity, secures connectivity and services connectivity between a financial institution and the multiple ancillary components it wants to incorporate. NXTsoft works with an institution’s selected FinTech vendors to ensure that systems transfer data exactly as they should, removing this headache from the financial institution. 

Compete with the Big Banks

“If a financial institution tries to put multiple disparate systems together and build and maintain connectivity, not to mention security, they start to become an IT business, which just doesn’t make sense for a $300-400 million institution,” said David Brasfield, CEO of NXTsoft. “IT & connectivity are not a financial institution’s expertise and focus. They just want to be banks and credit unions and that is where NXTsoft steps in with Connectivity as a Service and helps to get them where they want to go, while they continue to focus on banking,” he said. 

To further the analogy, if the financial institution elects to take a detour, meaning change core providers or select a different ancillary component, by using NXTsoft’s Software as a Service infrastructure, they own the road and therefore can easily change directions without losing valuable time or money. 

“NXTsoft’s Connectivity as a Service takes the hassle and pain out of taking advantage of this new open, composable market and does it simply and easily,” said Brasfield. “We empower institution to be nimble and agile, unencumbered by legacy technology,” he said. 

With Connectivity as a Service, NXTsoft paves the way to digital transformation for banks and credit unions. 

About NXTsoft

NXTsoft is headquartered in Birmingham and has offices in Atlanta, Orlando and Denver. NXTsoft is the market leader in secure, comprehensive, and complete workflow API connectivity, connecting fintech companies to banks and credit unions throughout the United States. NXTsoft’s other solutions include data analytics, data management and data migration. NXTsoft’s products and services help businesses secure, connect and optimize their data to maximize revenue opportunities and enhance profitability. For more information visit www.nxtsoft.com, email info@nxtsoft.com or call 1-800-915-3381. 

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April 4, 2022
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