Transactions: Marqeta extends collaboration with Block

Card-issuing fintech Marqeta announced earlier this month that it has secured a four-year extension of its contract with digital payments company Block to power that company’s Cash App card. During Marqeta’s second-quarter earnings call, Chief Executive Simon Khalaf said there is “plenty of opportunity” to grow as Block’s CashApp continues to gain traction and he expects the company’s “gross profit growth to come from” there. [caption id="attachment_57370152" align="alignright" width="300"] Courtesy Square Media Kit [/caption] “We’ve seen tremendous growth for Cash App because they are delivering a product that consumers demand, and Marqeta helps them obfuscate the complexity of the banking and financial system,” Todd Pollak , chief revenue officer at Marqeta, told BAN . A price increase will accompany the renewal, as Marqeta expects gross profit on Cash App volume to be about 40% lower year over year as a result of the renewal, Khalaf said. “It is a very, very fair deal for both parties and honestly sets us up for the right amount of growth for the next four years as we baked into the existing renewal,” he said during the earnings call. In Q2, 78% of Marqeta’s net revenue came from Block’s partnership, compared with 69% in Q2 2022, according to the company’s earnings report. Marqeta is also working with Walmart ’s fintech arm, ONE , as a new client for issuing Walmart’s cards this year. Marqeta began issuing ONE’s debit card in the first quarter, Pollak said. “Marqeta would love to have more large, successful customers like Cash App on our platform,” Pollak said. “We are also targeting growth stage companies that are doing interesting things with embedded finance.” JPM taps TIFIN to create AI-powered fintechs JPMorgan is pairing up with TIFIN , an AI platform for wealth management, to fund a studio designed to develop AI-powered fintech companies. Tifin.AI, an investment tool by TIFIN, will capitalize on AI capabilities including client portfolio insights, alternative investing and wealth management to provide a better client investing platform. AI is set to become an integral component of wealth and asset management interaction and TIFIN aims to use it to help clients make better financial decisions, according to a company release. "At TIFIN, it is our mission to deliver impact through innovation at speed," Vinay Nair , founder and chief executive officer of TIFIN, said in the release. “I am excited to collaborate with talented and visionary employees and apply the tremendous innovation in AI to change financial outcomes for individuals through the companies that we create and launch." In April 2021, TIFIN raised $22.3 million in series B funding led by JPMorgan, according to the company’s release. The company raised $109 million in May 2022 in a series D funding round in which JPMorgan was a major investor. After that funding round, TIFIN was valued at $842 million, according to TIFIN's release. Machias Savings Bank taps Jack Henry for modernization Machias Savings Bank has selected Jack Henry to modernize its tech stack to help the bank automate processes and boost efficiencies. The $2.4 billion bank will also use Jack Henry’s Enterprise Workflow to help larger clients automate their business process management products and expenses, according to a July 31 release. The Machias, Maine-based bank will gain access to nearly 950 API integrations from third-party fintechs within the Jack Henry ecosystem to enhance customer experience and provide more services to clients. “Jack Henry’s innovative mindset positions us well for a technology transformation that will help us stay competitive throughout shifting market and economic conditions,” Peter Greene , executive vice president and chief operating officer at Machias Savings Bank, said in the release. Jack Henry will also help Machias Savings Bank move its operations to the cloud. ChargeAfter expands with Wells Fargo ChargeAfter, an embedded lending platform, is teaming up with Wells Fargo Retail Services to offer white-label credit cards for businesses. The program will allow Wells Fargo business customers to extend promotional terms and obtain fast approvals for qualified consumers when making a purchase, according to a release today. The offering targets retailers and service providers that operate in home goods, home improvement, outdoor living and jewelry. Customers can access Wells Fargo’s white-label cards at the point of sale while making a purchase. “Partnering with ChargeAfter enables us to easily embed our private label card products into the merchant's point-of-sale,” Steve Jermier , senior vice president of relationship management for Wells Fargo Retail Services, said in the release. “ChargeAfter's simple integration into e-commerce and in-store POS platforms provides consumers with quick and convenient access to our product.”

Transactions: Marqeta extends collaboration with Block

JPM taps TIFIN to create AI-powered fintechs

Visa, Conferma Pay expand B2B payment rail

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Transactions: Marqeta extends collaboration with Block

JPM taps TIFIN to create AI-powered fintechs

Visa, Conferma Pay expand B2B payment rail

Jack Henry onboards 100-plus FIs to FedNow

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