Strategic credit union partners ABNB, Ascend, Corporate One, Georgia's Own, ICCU, IH Mississippi Valley, Royal, SAFE, Service, and Suncoast join ModernFi CUSO to accelerate the growth of foundational deposit infrastructure for the credit union ecosystem.

NEW YORK--(BUSINESS WIRE)--ModernFi CUSO, the preeminent solution for credit union deposit and member growth, is proud to announce the close of its latest funding with new investment from leading credit unions ABNB, Ascend, Corporate One, Georgia's Own, ICCU, IH Mississippi Valley, Royal, SAFE, Service, and Suncoast. This funding follows previous backing from strategic credit union partners Curql Collective and Members Development Company (MDC) along with existing investors Canapi and Andreessen Horowitz. Rodney Hood, former chairman of the NCUA, continues to serve on ModernFi's board.

This latest funding milestone accelerates the growth of ModernFi CUSO and reinforces the CUSO's commitment to and alignment with the credit union sector. ModernFi CUSO is focused on helping credit unions of all sizes and designations grow deposits and member relationships. With ModernFi CUSO, credit unions can utilize a dedicated deposit network and reciprocal deposits for the first time, representing a major breakthrough for the industry. Through ModernFi's deposit network, institutions can provide accounts with millions in extended NCUA insurance* to grow deposits and large-value member relationships, including with businesses, nonprofits, public funds, municipalities, and higher-net-worth individuals.

"As deposit retention and member growth continue to be top of mind for credit union leaders, we see ModernFi CUSO as a critical lever for growth moving forward. The introduction of a deposit network dedicated to credit unions is a major milestone for the industry," said Charles Mallon, Jr., CEO at ABNB.

"Ascend is incredibly excited to partner with ModernFi CUSO as both a partner and an investor. The ModernFi team have been dedicated and resourceful partners as they work closely with our team on both strategy and content for targeting new members and driving growth," said David Feldhaus, CFO at Ascend.

"As we learned more about ModernFi CUSO, it became clear the broad impact that its deposit network solution could have on the industry and many of the credit unions we serve today. As the first deposit network specifically designed for credit unions, we recognized this as a crucial tool that was previously missing in the credit union network. We are excited to invest in the CUSO and help make this a successful offering for credit unions," said Melissa Ashley, CEO at Corporate One.

"The partnership with ModernFi was made possible by MDC and Curql. MDC's 'Balance Sheet Marketplace' project evaluated 15+ solutions to help credit unions with deposit growth, and ModernFi offered a solution no other company could bring. ModernFi makes it possible for credit unions to capture the full value of deposit networks, something historically only banks had, while maintaining the member relationship entirely," said John Carew, Chief Strategy Officer at Georgia's Own.

"The launch of ModernFi CUSO marks a pivotal moment in credit union history, empowering credit unions of all sizes to offer sophisticated deposit solutions that were previously out of reach," said Brian Berrett, CFO at ICCU.

"At IH Mississippi Valley, we are dedicated to building trust with our members and the communities we serve, and the deposit network will support our focus on trust by offering millions in federal NCUA insurance to our large depositors including municipalities, leading to greater deposit growth and the ability to lend additional funds to our members," said Allan Hosack, CFO at IH Mississippi Valley.

"Business banking deposit growth has been a focus for Royal and having access to extended NCUA coverage adds significant value as we look to expand our business banking member base. The ModernFi solution is positioned to be a critical component of our growth strategy," said Brandon Riechers, CEO at Royal.

"We are looking forward to a long-term partnership with the ModernFi CUSO team as their deposit network grows to serve high-value members and credit union leaders with strategic balance sheet management resources. We believe this is a truly revolutionary tool for the industry moving forward," said Keith Troup, COO at SAFE.

"We are excited to contribute to the development and growth of this critical initiative for the credit union sector. ModernFi CUSO helps solve both deposit growth and retention initiatives for credit unions of various sizes and designations," said David Araujo, CEO at Service.

"Competition for deposits and shares remains elevated, and credit unions need innovative solutions for their relationship management teams to differentiate. ModernFi CUSO's deposit network levels the playing field against larger institutions who have had access to these products for decades," said Kevin Johnson, CEO at Suncoast.

The ModernFi CUSO team remains dedicated to serving its partners and the larger ecosystem. "We are grateful to be partnering with such an impactful group of credit unions and their leadership teams," said Paolo Bertolotti, CEO and Cofounder of ModernFi. "They bring a wealth of experience, expertise, and reach that will drive alignment and accelerate the success of the network. We and our partners are thrilled about the foundational impact the CUSO is having on the credit union sector, and we look forward to watching that impact multiply in the coming months."

To learn more about ModernFi CUSO, the deposit network, or the funding round, please reach out to the ModernFi CUSO team or learn more at modernfi.com/cuso.

* Deposit insurance provided through program credit unions (subject to meeting certain conditions)

About ModernFi CUSO

ModernFi CUSO empowers credit unions of all sizes to better serve their communities. Through ModernFi CUSO, credit unions can grow, retain, and manage their deposit base by sourcing deposits, sweeping funds, and providing additional security to depositors. Founded by a team of veterans from technology and finance, the firm provides financial institutions with end-to-end deposit management built on a modern tech stack and a foundation of compliance. Learn more at modernfi.com/cuso.

About Curql Collective

Curql Collective is a collaborative ecosystem of progressive credit unions and innovative fintech. Through a family of funds including Curql Fund I, Curql Fund II, and Curql Accelerate, Curql strategically invests in the visions of entrepreneurs to bring transformative technology to credit unions to revolutionize how credit union members engage with financial services in the digital age. As the on-ramp to fintech collaboration and innovation, Curql connects credit unions with the future of the credit union industry. For more information, please visit curql.com/credit-unions/.

About Members Development Company

MDC is the credit union network's multi-million-dollar R&D department. They scan the horizon, research the issues, and create actionable solutions to solve problems for today – and tomorrow. By pooling the resources of 80+ credit union and CUSO owners, MDC is able to deliver meaningful solutions efficiently and affordably. They learn the lessons of what does and doesn't work — without exhausting their owners' budgets and resources for exploration and development. MDC also believes that research must be driven by the owners, for the owners. While MDC does the heavy lifting, the credit union and CUSO owners both advise and participate in the work not just as investors but as trusted partners.

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