PFM is an Integral Component of Online Banking - Digital Insight and Metavante are on The Right Track
13 May 2009
Interesting happenings in the PFM space yesterday. Digital Insight
announced an agreement with Metavante
that would enable Metavante to offer Digital Insight's FinanceWorks
to its online banking customers. I'm a big believer in integrating PFM with online banking so it is nice to see the traditional online banking solution vendors take the next step. Digital Insight has been selling FinanceWorks like hotcakes - More than 160 banks and credit unions currently offer or are in the process of launching the solution. There are a couple of reasons why the Digital Insight/Metavante deal is significant:
Credibility and Proven track record. Digital Insight and Metavante have been in the online banking space for eons. They have experience with online banking solutions and have acknowledged the important role played by PFM.
Integration Experience. There are a few consumer-direct PFM players (e.g. Wesabe, Gezeeo) that have announced that they will market their product to financial institutions (see the following blog entry). While they have very viable and competitive offerings they don't have experience integrating with online banking solutions. This will however change as these vendors continue to sign up additional financial institutions. They will give the traditional OLB players a run for their money.
Additional OLB players will come out with next generation PFM solutions - it is only a matter of time. Digital Insight (and now Metavante) have a good head start.