Mbanq and Temenos Launch World's First Credit Union-as-a-Service

On October 11, 2021, Mbanq announced a partnership with Temenos to launch what they describe as the world's first Credit Union-as-a-Service (CUaaS) platform while also accelerating BaaS delivery in the US market. The collaboration leverages Temenos's core banking technology to enable Mbanq to offer cloud-based API-driven financial services including payments, lending, and other banking capabilities to US fintechs and e-commerce companies. CUaaS extends the traditional BaaS model by bringing credit union infrastructure into the embedded finance ecosystem, potentially offering more favorable terms and community-oriented banking features.

Mbanq provides the BaaS platform and go-to-market strategy for fintechs, while Temenos contributes its proven core banking software and cloud infrastructure. The partnership targets the growing demand from US fintechs and e-commerce businesses to embed financial services without building banking infrastructure from scratch. Financial terms of the deal were not disclosed.

This represents a significant innovation in the BaaS space, potentially opening credit union charters as a new pathway for embedded finance distribution.