Treasury Prime Reports 50% Lower Deposit Costs for Partner Banks

Treasury Prime, a banking-as-a-service provider, reported that banks using its platform to partner with fintechs experienced a 50% reduction in deposit acquisition costs alongside a 30% increase in deposits. The platform facilitates connections between banks and fintechs via APIs, enabling third-party companies to offer banking services under their own brands. Treasury Prime supports two account structures: individual on-core accounts where end-users have direct accounts on the partner bank's core system, and FBO (For Benefit Of) accounts that allow fintechs to create virtual sub-accounts for faster onboarding.

The FBO model was noted as particularly effective for accelerating account market share growth for partner banks. The company positioned these results within the broader embedded finance market, which was projected to expand three-fold to $138 billion by 2026. These metrics provided tangible evidence of the BaaS value proposition for community and regional banks seeking digital growth channels.

The announcement reinforced Treasury Prime's market position as a leading BaaS intermediary connecting traditional banking infrastructure with fintech innovation.