The news: Green Dot has struck a deal with software provider Temenos to use its cloud-based platform for both its direct bank, GO2bank, and banking as a service (BaaS) businesses.
Green Dot will use The Temenos Banking Cloud to deploy a streamlined customer banking experience with more feature-rich offerings.
More on this: Green Dot has maintained a sizable presence with both consumers and big corporations, per CEO Dan Henry, who spoke with Insider Intelligence for a January 2021 Q&A:
The company’s consumer and business segments account for most of its income, according to its Q2 2021 report:
Aside from GO2bank, Green Dot offers a demand deposit account (DDA) in partnership with Walmart. This was unveiled in June 2021 and builds on an existing debit-card arrangement between the companies. Features within the DDA are similar to features in GO2bank.
The big takeaway: Teaming up with Temenos gives Green Dot a shot at building on its relationships with low- to-moderate income consumers.
The ability to rapidly deploy more features to GO2bank and its BaaS suite can help bring new direct customers to Green Dot—and offer end users of its partner companies access to a wider range of features. Stronger product capabilities and a better customer experience will also keep Green Dot competitive with incumbents, neobanks, and BaaS providers.