Banc of California acquired digital payments platform Deepstack Technologies on September 15 in a $24 million cash and stock deal that will expand its business into payment processing in a move to provide customers with detailed insights and tips to streamline their spending.

The $8 billion Santa Ana, Calif.-based bank will use Deepstack’s API-driven payments solutions to augment capabilities continually over time, Banc of California president and Chief Executive Jared Wolff told Bank Automation News. The migration is expected to be completed in the coming months, he added.

[blockquote author=”Jared Wolff”]There really aren’t any other banks that are doing this, and I think the attractiveness of having a bank owning the software unlocks a lot of potential[/blockquote]

“As we gather more data about transaction activity, you can track [clients’] flow of funds. I think it would give you a lot of insight into who might need a line of credit to bridge the flow of funds. You might also get insight into the nature of the products they’re selling.”

Being able to analyze incoming and outgoing transactions allows Banc of California to better understand their customers’ needs, in addition to providing insights into how to best inform customers of methods to streamline their spending habits, Wolff added.

The acquisition of Deepstack gives the bank the ability to provide a full-stack payment solution to its customers: as a payment gateway, a payment provider and an ISO-8583 payment switch, a tool that allows for payments to be routed to multiple acquirers, according to a bank release.

The long-term goal for Banc of California is to offer a “differentiated solution that clients cannot find at competitor banks,” Wolff told BAN.

“We believe this new vertical will embed the company with stable, growing fee income and true franchise value that investors will recognize as differentiated in something that they can’t find from competing regional banks,” he said.