This end-to-end integration, bringing sweep and reciprocal programs directly into digital banking, aims to eliminate friction for depositors and bank operating teams and drive adoption of these crucial programs throughout the industry.

Q2 Holdings, Inc. (NYSE: QTWO) is a leading provider of digital transformation solutions for financial services. As part of the Q2 Partner Accelerator Program, financial institutions will be able to offer ModernFi’s digitally integrated insured sweep accounts to provide their highest-value customers extended deposit insurance via the Q2 Digital Banking Platform. ModernFi helps financial institutions strengthen the insured composition of their balance sheets and compete for depositors that might otherwise go to the largest competitors or leave the banking sector entirely.

ModernFi’s integration with the Q2 Digital Banking Platform offers an attractive, non-rate solution for financial institutions to grow deposits and bolster the strength of their balance sheets, a top concern for both banks and credit unions. The integration is key for financial institutions that are used to running these under-utilized sweep and reciprocal programs manually through paperwork, phone calls, and emails. This burdensome onboarding and management process helps explain why less than half of all U.S. banks participated in reciprocal programs last year, even though those that did experienced 12 percent higher growth than those that did not.

“ModernFi is proud to partner and integrate with Q2’s Digital Banking Platform to launch its fully integrated insured sweep account,” said Brendan Quinn, Digital Banking Partnerships Lead of ModernFi. “By breaking new technical ground and bringing sweep and reciprocal programs into the modern age, we have removed the friction for depositors and operational burden for institutions, dramatically increasing the usability and adoption of these critical products. We look forward to continuing to innovate alongside our partners to help drive deposit growth and stability for financial institutions and the communities they serve.”

The Q2 Partner Accelerator is a program through the Q2 Innovation Studio that allows in-demand financial services companies who are leveraging the Q2 SDK to pre-integrate their technology to the Q2 Digital Banking Platform. This enables financial institutions to work with these partners, purchase their solutions, and rapidly deploy their standardized integrations to their customers.

“We’re excited to welcome ModernFi to the Q2 Accelerator Partner Program,” said Johnny Ola, managing director of Q2 Innovation Studio, at Q2. “Financial institutions can now access ModernFi’s deposit network to help grow deposits.”