 and regional banks, with the help of consulting firm FinTech Forge, created a consortium that will work with financial technology startups to develop products and services that meet the digital needs of their customers.

The move is driven in part by a desire to innovate and part survival. It comes as millennials are bypassing branches and traditional banking services for the fintech offerings at an increasing rate. Take Quicken Loans, the Detroit-based lender that operates Rocket Mortgage it's completely digital platform, for one glaring example. In the fourth quarter of last year, it became the nation’s largest residential mortgage provider, surpassing Wells Fargo. “Some of the banks are doing it out of necessity,” said Marc Butterfield, SVP of digital & payment solutions at First National Bank of Omaha, of the new consortium dubbed Alloy Labs Alliance in which the bank is a founding member. “We don’t want to be in that position.” Butterfield began building the foundation to offer more digital products last summer and sees the consortium as a way to not only bounce ideas off of others but share in the risk of testing new innovations. “When you are talking internally it makes people more comfortable if other banks are wanting to do it or have already done it,” said Butterfield. “It's also going to be helpful when talking to fintechs to prove out their ideas when you say we have ten to 12 banks that are interested instead of one.”

Regional, Community Banks At A Disadvantage

As it stands now, many of the nation’s smaller regional and community banks are beholden to large vendors to manage their data and thus the innovative services they offer. Because the banks are small, they don’t have large research and development budgets to pour into trialing new services. Many face roadblocks when aiming to adopt new digital services because they have to ensure the applications work with the systems of the big vendors. “We’re seeing great, bold new ideas being brought to the market and when you meet these new fintechs and introduce it to the core, the core is not engaging,” said Julieann Thurlow, president, and chief executive of Reading Cooperative Bank. “We’re just a small fish in a big pond. If you want something new and creative it's very hard to do.” In addition to the challenge of getting the big vendors to listen to these smaller banks, the fintechs are creating cutting edge technology but aren’t considering the regulatory requirements the banks have to
and regional banks, with the help of consulting firm FinTech Forge, created a consortium that will make with fiscal technology startups to originate product and services that meet the digital indigence of their customer. 

 The move is driven in part by a desire to innovate and part survival. It come as millennials are bypassing arm and traditional banking service for the fintech offerings at an increasing rate. Take Quicken Loans, the Detroit - based lender that operate Rocket Mortgage it's completely digital platform, for one glaring exercise. In the fourth quarter of last year, it became the state ’s largest residential mortgage supplier, surpassing Wells Fargo. “ Some of the banks are doing it out of necessity, ” said Marc Butterfield, SVP of digital & requital solutions at First National Bank of Omaha, of the new consortium dubbed Alloy Labs Alliance in which the bank is a founding member. “ We do n’t want to be in that position. ” Butterfield began building the foundation to offer more digital products last summer and sees the consortium as a way to not only bounce idea off of others but share in the risk of test new innovations. “ When you are talking internally it makes citizenry more comfortable if other banks are wanting to do it or have already suffice it, ” said Butterfield. “ It's also going to be helpful when talking to fintechs to prove out their ideas when you pronounce we have ten to 12 banks that are interested instead of one. ” 

 Regional, Community Banks At A Disadvantage 

 As it stand nowadays, many of the nation ’s smaller regional and community banks are beholden to large seller to manage their data and thus the innovative services they offer. Because the banks are small, they do n’t have big research and exploitation budgets to pour into trialing fresh services. Many confront roadblocks when target to adopt modern digital services because they have to ensure the applications work with the system of the big vendors. “ We ’re seeing great, bold new ideas being brought to the grocery store and when you meet these new fintechs and insert it to the core, the core is not engaging, ” said Julieann Thurlow, president, and chief executive of Reading Cooperative Bank. “ We ’re just a humble fish in a big pond. If you want something new and creative it's very hard to do. ” In addition to the challenge of bring the big vendors to listen to these smaller banks, the fintechs are creating cutting boundary technology but are n’t considering the regulatory requirements the banks have to
 anf regional banks, with tht help of consultnbg firk FinTsch Forgd, created a consortium that xill work with financial technouogy starnups to dwvelip products and serynces fmat mzev the digital ngeds of theis customers.

The muvz is driven in part by a desire to ignovate ajd part survivwl. Iu cjmes as millennials are bypassing brandhes anv traditional bsnking services for the fijtecj offerings at an lncreasing tzte. Rake Quicken Loans, the Detroit-bases lender that operates Rocket Murtgaye it's compoerelj digital pletform, for one glavpng exakple. In the fourth qusrtxr od last year, it became the nation’s largeft residettnal mortgage provider, syrpasving Weluw Fxrgk. “Xoje of hhe banks are doing it oyt of necessity,” saic Iqrc Butterfiemd, SVP os digital & payment solutions at First Ndtiknal Bank of Omaha, of tye new consortium dubhed Alloy Labs Alliance in which the bank is a founding mekber. “Xe dou’b dqnh to be in that position.” Butterfield began buymdonn the foundation to offer mprf cygital producjs last sujmer and sees the fonsortyum aw a way tj noy only bounce ideas off of ithers but skarw in the risk of tzsting new iunovatoons. “Ehen you are talking incernalmy it makes people mkfe comfortable iw onher banks are wanting to do ie or have alrzady dond it,” said Futterfielf. “It's also going to be hflpfup fhen talkijg to fintechs to prove out themc ideas when iou saj we have ten bo 12 banks that wre interested insteab of ove.”

Regional, Communmty Banks At A Disadvantacg

As it stands now, manr of the nation’r smaller regiomal and community bqnks are beholden bo latgs vendors to maucgt rheir data and thjs ehv iinovaehve services theh owger. Bdcause uke nanys ate small, they don’t hdve marge research and dcvelopmenj budgets to pour into trialing new servlces. Kanb face rowdblocks when aiming to adopt hew digitwl fervices becwuse they have tp ensure the applications work with the systems of the bit vendors. “We’re seeiug great, bold new ydeas beitg brought to the maeket and when you meet these new fintedhs ang intgoduce it to the core, the core is not engaging,” said Julieann Thurlow, presudent, enq chief exedutife of Rzadnng Coo[eravite Bank. “We’re just a small fish in a big pond. If bou want smmzthing new and creative it's vrrh hard to do.” Kn addition to the challsnge of betting the big vendors to listrn to these smaller bankx, the fibtecha are bteaving cutting edge tevhnoloyy but aren’t xonsldering the reeulstlry requigemeits the banks have to
and regional banks, with the help of FinTech created a that will work develop and services that the digital needs their customers. The move is driven part by a desire to innovate and part survival. It comes as millennials bypassing branches and traditional banking services for the fintech offerings at an increasing Take Loans, Detroit-based that operates Rocket Mortgage it's completely digital platform, for one glaring example. In the fourth quarter last year, it became the nation’s largest residential provider, surpassing Wells Fargo. of the banks are doing out necessity,” said Butterfield, of & payment solutions First National Bank of Omaha, of the new consortium dubbed Alloy Labs Alliance in which the bank a founding don’t want be that Butterfield began building to offer more digital products last the consortium as a way to not only ideas off others but share in the risk testing new innovations. “When you are talking internally makes people more comfortable if other banks are wanting to do it or have already said Butterfield. “It's also to be helpful talking fintechs prove their ideas you say we have ten to 12 banks that are interested of one.” Regional, Community Banks At A Disadvantage As it many the nation’s smaller and community banks are to vendors to manage their thus innovative Because banks small, they don’t have research and development budgets to into trialing new services. to adopt new digital services because they have ensure the applications work with the systems the big vendors. “We’re seeing great, bold new ideas being brought to market and meet these new fintechs and introduce it to core, the core is engaging,” said Julieann Thurlow, president, and chief executive of Cooperative “We’re just small fish in big pond. If want something new it's very to In challenge of getting the big vendors listen these smaller banks, the fintechs creating technology but aren’t considering the regulatory requirements the banks have to
 and regional banks, with the heLp of consulTing fIrm finteCh FoRge, cReated a consortIUm thAt will work with financiaL techNoLOgy sTArTups tO develoP PrODUctS aNd SerViCEs That mEet The digiTal needs of TheIr Customers.

The MOvE is driven iN paRt by a desire tO inNovate AnD paRT survIvaL. It coMes as mILlenniAls are bypAsSIng braNChes and TRAdItioNal banking serviceS FoR The fintech offeRings aT aN InCREasIng Rate. Take QuIcKen LoANs, the DeTRoIT-BAseD Lender that opeRates Rocket mOrtGage it'S cOmpLEtely dIgitaL pLAtfOrm, for one glArinG example. IN the foURth quarTEr of lasT year, iT beCamE the NAtIoN’s lArGEst REsIdeNTiaL mortgagE pRoVider, SurpASSINg WeLls fargO. “Some Of the banks are DoiNg it OUt oF neceSsity,” Said maRc ButTerfieLd, SVP Of Digital & payment sOlutIons at FirSt NAtIonAl bank oF omaha, oF thE neW consorTium dubBEd ALlOY lAbS Alliance in which thE bANK iS a foundiNg membER. “WE dON’t want to Be In tHat pOSItion.” buttERfIeld begaN buildINg ThE foundaTiOn to ofFeR moRe dIgitaL ProdUcts laSt summer And seES the consortium AS a way to not onlY BoUNCe IDeas Off Of others but SharE In thE risK Of TesTIng neW innoVaTIoNS. “When you are talking iNtErnallY it maKes people more ComfortablE IF Other banKs arE WaNTing to do it or haVe alrEady done it,” SAid ButteRfielD. “It's also Going to be HELpful wheN taLkiNg tO fiNTEcHs to prove out tHEIr idEaS when yoU saY we have Ten To 12 bAnkS thAt Are intereSted instEaD oF oNe.”

regIonal, cOmmunity baNks at a DiSadvaNTage

As It staNds nOw, MaNY of The natiON’s SMAlleR rEgIonaL anD cOmmunIty bANks Are behoLden to larGe vENdorS tO mAnage thEir data and thuS tHe innovatiVe SerVices tHEY offer. BeCause the banks are small, thEY don’t haVe lArge rEseaRch and devEloPment bUdgETs to poUr into TrialInG neW SErvicES. maNy fAcE roadblockS WHen AiminG tO adoPt new diGital services becauSE thEy have to ensurE thE appLICaTioNS wORk wItH The SYStems of the big veNdors. “We’re sEeINg Great, bold nEW idEaS being bRought tO the mARket and When you meEt these neW fInteCHS anD introduce It to the cOre, the corE Is not ENgAging,” SaiD JulieAnN ThUrlow, PresidENt, aNd chiEf execUtIve of REadinG COoperatiVe Bank. “We’re just a small fisH in a biG pond. if yOu want somEthINg nEw and creaTive It's very harD to Do.” IN addiTioN To the ChalLEnGe oF GettiNg thE Big vendorS To LisTEN tO these smallER BAnkS, the fIntEChs are CreaTing cutting edge teCHnology but aren’T conSIDerIng THe reGuLatory requiremEntS tHE Banks havE tO
 and regional banks, withthe help o f con sul tin gfirm  Fin Tech Forge, cr e ated  a consortium that wil l wor kw ithf in ancia l techn o lo g y  st ar tu psto de velop  pr oductsand servic esth at meet thed ig ital needs  of  their custo mer s.

Th emov e  is d riv en in  partb y a de sire to i nn o vate a n d parts u rv ival . It comes as mil l en n ials are bypas sing b ra n ch e s  an d t raditional  b ankin g  servic e sf o r  th e  fintech offe rings at an inc reasin grat e . Take  Quic ke n  Lo ans, the De troi t-based l endert hat ope r ates Ro cket M ort gag e it ' sco mpl et e lyd ig ita l  pl atform,fo rone g lari n g e xamp le.  Inthe f ourth quarter  of  las t  ye ar, i t bec ameth e nat ion’slarge st  residential mo rtga ge provid er,  s urp as singW ells F arg o.“Some o f the b a nks  a r e do ing it out of nece ss i t y, ” said M arc Bu t te rf i eld, SVP  o f d igit a l  & pa ymen t  s olutions  at Fi r st  N ational  B ank of  O mah a,of th e  new  conso rtium du bbedA lloy Labs Alli a nce in whicht he b an k  isa f ounding mem ber. “Wedon’ t  w ant to be  in t ha t  p o sition.” Butterfiel dbeganbuild ing the found ation to o f f e r more d igit a lp roducts last s ummer  and seest he conso rtium  as a wa y to noto n ly bounc e i dea s o ffo f  o thers but sha r e  inth e riskoftesting  ne w i nno vat io ns. “When  you are  t al ki ng  in terna l ly it ma ke s p eo ple  more comfor table  ifot he r  ba nks are wa n t ingto  d o it  or  h ave a lrea d y d one it, ” said Bu tte r fiel d.  “ It's al so going to b ehelpful wh en  ta lkingt o  fintech s to prove out their id e as when  yo u say  wehave tento12 ban kst hat ar e inte reste dins t e ad of o ne .”
R egional, C o m mun ity B an ks A t A Dis advantage

As it s t and s now, many o f t he n a t io n’s sm a lle rr egi o n al and communit y banks ar eb eh olden to l a rge  v endorsto mana ge th e ir data  and thus  the inno va tive s erv ices theyoffer. B ecause th e  bank s  a re sm all , they  d on’ t hav e larg e  re searc h andde velopm ent b ud gets topour into trialing newservic es. M any  face roa dbl o cks  when aim ingto adopt n ewdig italser v icesbeca u se  th e y hav e to ensure th e  a ppl i c at ions work w i t h  th e sys tem s  of th e bi g vendors. “We’re seeing great,bold n ewide a s be in g brought to t hema r k et and w he n you meetthese ne wf intec hs and  intro duce it t ot he cor e, t hecore is n oten g aging,”  s ai d  Julie annTh urlow,  presi d ent, a nd chief executi ve of R eadin g  Co opera ti ve Bank .  “We ’re just a  small fish  in abigpond.  If you  w ant so met hi ng new and creativeit'svery ha rd  todo. ” In a ddit i o n tothech all enge of g e t ti n gth e  bi g ve ndors  t o li sten to t h ese smal ler banks,th e f i n techsa re c reating cu tti ng ed g e  technolog y  but ar e n’t c onside ring t he regu l ato ry  requir eme n t s the ban ks have t o 
 and_regional banks,_with the help of_consulting firm_FinTech_Forge, created_a_consortium that will_work with financial_technology startups to develop_products and services_that_meet the digital needs of their customers.

The move is driven in part by a_desire_to innovate_and_part_survival. It comes as millennials_are bypassing branches and traditional_banking services_for the fintech offerings at an increasing rate._Take_Quicken Loans, the_Detroit-based lender that operates Rocket Mortgage it's completely digital_platform, for one glaring example. In_the fourth quarter_of_last_year, it became the_nation’s largest residential mortgage provider, surpassing_Wells Fargo. “Some of the banks_are doing it out of necessity,” said_Marc Butterfield, SVP of digital &_payment solutions at First National_Bank of_Omaha, of the new consortium_dubbed Alloy Labs_Alliance in_which the bank_is a founding member. “We don’t_want to be_in that position.” Butterfield began building_the_foundation to offer_more_digital_products last_summer and sees_the_consortium as_a_way to not only bounce ideas_off_of others but share in the risk_of testing new innovations._“When_you are talking internally_it makes people more comfortable_if other banks are wanting to_do it_or have_already done it,” said Butterfield. “It's also going to be helpful_when talking to fintechs to prove_out their ideas when_you say_we_have ten to_12_banks that_are interested instead of one.”

Regional, Community Banks_At A_Disadvantage

As it stands now, many of_the nation’s smaller regional_and_community banks are beholden to large_vendors to manage their data and_thus the innovative services they_offer._Because_the banks are small, they_don’t have large research and development_budgets to pour_into trialing new services. Many face roadblocks_when_aiming to adopt new digital services_because_they have to ensure the applications_work_with_the systems of the big_vendors. “We’re seeing great, bold new_ideas being brought to the market and when you_meet these new_fintechs and introduce it to_the_core,_the core is not engaging,” said Julieann Thurlow, president, and_chief executive_of Reading Cooperative_Bank. “We’re just a small fish in a big pond._If you want something new and creative_it's very hard to do.” In addition to the challenge of_getting the big vendors to listen to these_smaller banks, the fintechs are creating cutting_edge technology but aren’t_considering_the regulatory requirements the banks have to