Arvest Bank took a big stride forward in its digital transformation initiatives on Thursday (Sept. 16).
The Fayetteville-based bank has selected London-based fintech firm Thought Machine to implement a next-generation core banking infrastructure.
According to a news release, Thought Machine’s cloud-native core banking engine, Vault, will support the bank’s multi-year transformation strategy and provide Arvest “with the capabilities to build personalized, real-time banking services.”
Thought Machine launched in 2014 and the company has implemented its flagship system with several European customers including Lloyds Banking Group, SEB, TransferGo and Curve. Arvest Bank is the firm’s first U.S. client.
Arvest Bank operates more than 240 bank branches in Arkansas, Oklahoma, Missouri and Kansas. According to the FDIC, as of June 30, the bank had $26.2 billion in assets. It is Arkansas’ second-largest bank in asset size (Bank OZK; $26.6 billion in assets).
“Since our founding nearly 60 years ago, Arvest has been committed to serving our customers and communities by helping them find financial solutions for life,” Arvest president and CEO Kevin Sabin said in a statement. “As modern consumers’ lifestyles and digital banking expectations change, we want to ensure we deliver a banking experience that makes their lives easier today and well into the future. A next-generation core engine powering Arvest will allow us to do just that.”
According to the release, the bank says its transformation includes new products and services in payments, digital applications and operational capabilities.
Thought Machine claims its Vault system will enable “superior experiences, products and processes.”
“Deploying modern, cloud-native core banking software will allow Arvest to truly step ahead of the competition in terms of customer experience, resilience and innovation,” Paul Taylor, Thought Machine CEO, said in the release. “Banks of the future are adopting Vault to deliver cutting-edge experiences for customers, build exciting new products and free themselves from legacy constraints. This is a pivotal moment for Arvest, and we are extremely excited to be working with the bank as it builds its future.”
Arvest also revealed that it is working with Accenture to modernize its middle office systems for retail and corporate banking.
Accenture and Thought Machine are teaming up to bring core modernization and cloud-first capabilities to financial institutions of all sizes globally. According to Thursday’s release, Accenture is the first systems integration partner to implement Thought Machine in North America, which is where the companies are initially focusing their efforts.
“Arvest is making bold moves to become a technology leader among peers by deploying a next-generation core banking platform, supported by a strong ecosystem of partners,” Brett Goode, a managing director and digital banking lead at Accenture, said in a statement. “We are thrilled to help Arvest transform its technology infrastructure to create the digital experiences that customers and employees demand by offering the latest and most innovative technologies at scale and speed.”
Arvest announced a new digital banking solutions division earlier this month, headed up by former JPMorgan Chase executive Melanie Fuller.
“We are so excited about the new solution and flexibility provided by Thought Machine,” Fuller told the Northwest Arkansas Business Journal. “This new core banking platform will allow us to test new products and services quickly so we can design the banking experience of the future.
“Over the next few years, we will begin to deliver new products and services to the benefit of our banking customers. Thought Machine will allow us to quickly adapt as the needs of our customers change throughout their financial journey.”