CFES

Coalition for Financial Ecosystem Standards

About: FS Vector is partnering with industry leaders to found the Coalition for Financial Ecosystem Standards (CFES). CFES is an industry-led organization that sets operating rules that promote safety and soundness for non-banks participating in financial services.

Why: Partnerships between non-banks and banks play an important role in financial services innovation and growth for community banks. However, sustained regulatory concerns about these partnerships undermine their operating viability.

Members: CFES members represent partnerships across a set of expertises including the provision of lending services, payment processing, and open banking. Our members provide input that ensures standards reflect compliance rigor that keeps up with evolving technologies and banking partnerships.

Cost savings from collaborative and standardized due diligence

Greater industry certainty on accepted risk management practices

Enhanced regulatory, consumer, and business trust and compliance

The Coalition for Financial Ecosystem Standards (CFES) presents a comprehensive analysis of bank-nonbank partnerships in financial services. This white paper examines partnership models, market impacts, and regulatory challenges, offering key recommendations to foster innovation while ensuring compliance and consumer protection.