Financial advice software provider Decimal has struck a deal to offer its services to more than 100,000 members of a customer-owned mutual bank, making it the third deal with a large financial services provider.
The deal, struck between Decimal and WA-based P&N Bank, follows those struck with Mercer and QSuper late last year to offer the group’s online financial planning and advice tools to clients of the latter groups.
It also follows a partnership with US based fintech firm Yodlee which was announced in April this year which would see Decimal offered into the US market via Yodlee.
Under the terms of the arrangement with P&N Bank, Decimal will operate under a partnership framework during with the bank will evaluate the platform with the possibility of full commercial implementation of Decimal at a later date.
The deal is the first struck by Decimal with a mutual bank with P&N serving more than 100,000 members with $3 billion in assets with Decimal stating discussion were underway for similar arrangements with other Australian and US financial institutions.
Decimal chief executive Carolyn Colley said said the agreement was part of the push to offer scaled advice to the majority of people who do not access any form of financial advice and that deals such as this one were part of its strategy to commercialise its product and model.
“The P&N partnership signals an expansion for Decimal into the mutual banking sector in Australia representing $85 billion in assets and serving some 4 million customers. P&N has recognised the potential to fast track its growth through its partnership with Decimal, which will seek to enable it to offer cost-effective financial advice to a broader population of its members and the market,” Colley said.
