In this episode of TechSolutions4CUs, host John San Filippo spoke with Clair Finkenbinder, the co-founder and Chief Revenue Officer of Veritium. The conversation focused on how managed service providers (MSPs) operate within the financial sector and how Veritium is disrupting the traditional MSP market through its co-managed cloud model.

Redefining the MSP Model

Finkenbinder explained that traditional MSPs typically require a credit union to fully outsource a specific tech stack or function, which often leads to vendor lock-in and a loss of technology ownership. Veritium differentiates itself by ensuring that clients retain full ownership of their environments. Finkenbinder noted, "We're really trying to co-manage these environments with our customers and enable them, if they should want to develop the appropriate skill sets with the solutions we provide."

For instance, under their cloud networking solution, Veritium helps clients directly acquire their own data circuits and hardware infrastructure rather than leasing them through the provider. This approach allows institutions the flexibility to swap out specific services or vendors without having to replace their entire technical setup.

Zero Installation Fees and Outcome-Based Pricing

A primary element of Veritium’s business model is the complete elimination of upfront integration and installation fees. Instead of billing for hours spent on architecture and migration, the company charges a flat percentage based on the client's cloud spend. Finkenbinder stated, "We think you should pay for outcomes, not billable hours."

This fee structure ties Veritium's revenue directly to the client's financial performance. When Veritium actively monitors and optimizes an environment to decrease cloud spend, the amount the client pays to Veritium decreases as well. Finkenbinder highlighted this risk-sharing philosophy by offering an example of a client who chose to turn off an AWS cloud solution after a leadership change. Because the cloud spend dropped to zero, Veritium received no payment for the upfront setup work. However, this transparency avoided locking the client into a restrictive contract, preserving a partnership that eventually led to other projects.

Navigating AI and Compliance

Finkenbinder discussed how mid-tier and smaller credit unions frequently struggle to staff specialized technical roles for advanced projects like artificial intelligence (AI) and data analytics. Veritium mitigates this by providing access to its own global workforce to act as an extension of the credit union's staff.

When implementing AI internally or assisting clients with governance, Finkenbinder emphasized that human oversight remains critical. He stated, "Whoever is leveraging it is it needs to be the person responsible for the output."

Furthermore, the podcast touched upon regulatory compliance. Veritium maintains SOC compliance, undergoing annual audits and utilizing continuous AI-driven testing to monitor its internal systems. Finkenbinder concluded with the prediction that the financial industry is only at the beginning of the AI journey, comparing its ultimate societal impact to the introduction of the Internet.

In this episode of TechSolutions4CUs, the official Finopotamus podcast, host and publisher John San Filippo dives into the massive, yet often overlooked, opportunities within commercial lending for credit unions. Joining the conversation are two industry experts: Andy Ivankovich, CEO of Baker Hill, a commercial and small business lending technology provider with over 40 years of experience; and Trevor Haley, Vice President of Commercial Underwriting at Indiana Members Credit Union (IMCU), a $3.5 billion institution managing an approximate $750 million commercial portfolio.

Together, the panel explores how credit unions can successfully compete against major banking institutions, transition away from manual processes, and leverage next-generation technology to safeguard their portfolios.

Key Discussion Highlights

• The Credit Union Opportunity: While credit unions traditionally focus on consumer lending, the commercial space offers a prime avenue for driving yield and gathering deposits. Larger credit unions have excelled here for decades, and many are now efficiently scaling their operations—even acquiring community banks to absorb established commercial lending teams.
• Fierce Competition & Relationship Banking: Competing against massive national banks requires a strategic approach. While the heavy hitters dominate commercial and industrial (C&I) lending, credit unions can find immense success in commercial real estate (CRE). Credit unions hold a distinct advantage through true relationship banking—building deep, trust-based partnerships over a cup of coffee—that larger institutions struggle to replicate.
• The Danger of Excel and the Shift to Tech: For institutions managing just a few CRE deals, spreadsheets might suffice. However, as a portfolio scales past a couple hundred million dollars, technology becomes critical. The experts discuss why relying on manual spreadsheets is unsustainable and risky, as a single multi-million-dollar bad loan impacts an institution far differently than a standard auto loan default.
• Core Integration & Eliminating Human Error: A seamless two-way flow of data between a loan origination system (LOS) and the credit union's core platform is vital. The guests explain how mapping hundreds of data fields reduces hours of redundant manual data entry, cuts down on human error during loan booking, and gives underwriting committees a comprehensive view of a member's entire relationship.
• AI as an Enablement Tool: Looking toward the future, artificial intelligence is highlighted not as a replacement for relationship bankers, but as a powerful tool to eliminate administrative friction. From automating the spreading of tax documents in milliseconds to providing early warning indicators for portfolio monitoring, AI allows lean teams to cover more ground and proactively manage risk.

In this episode of TechSolutions4CUs, Finopotamus Publisher John San Filippo sits down with Elizabeth Osborne, the Senior Managing Director of Operations for Jack Henry’s Credit Union Solutions Group. Elizabeth shares her fascinating career trajectory, moving from an aspiring broadcast journalist to a powerhouse executive in the financial technology space.

The conversation explores Elizabeth’s diverse background, including her time at State Street, her role in scaling Belmont Savings Bank from $800 million to over $3 billion, and her eventually finding her "professional home" within the credit union movement. Elizabeth also discusses her landmark testimony before Congress regarding the ethical use of Artificial Intelligence in financial services.

Key Discussion Points

• A Non-Linear Path to Tech: Elizabeth reveals how she pivoted from journalism and accounting to find her passion in business leadership and technology implementation.
• The Shift to Credit Unions: Discover why Elizabeth initially thought credit unions might be "sleepy" and how her experience at Great Lakes Credit Union completely changed her perspective.
• AI and Advocacy: Elizabeth details her journey to the House Financial Services Committee, where she testified on the impact of AI and the need for balanced regulation that doesn't "handcuff" innovation.
• The "Amazon Effect" in Banking: A deep dive into the technological challenges facing credit unions today, including the need for seamless member journeys and competing with agile fintechs like Chime.
• Women in Fintech: Elizabeth makes a passionate plea for more women to take risks and pursue leadership roles in technology, emphasizing the importance of mentorship for the next generation.

About the Guest

Elizabeth Osborne is a seasoned financial services leader with extensive experience in technology, M&A, and strategic operations. After serving as the COO at Great Lakes Credit Union, she joined Jack Henry to oversee infrastructure, hosted services, and support for the credit union side of the business. She is a frequent speaker on digital transformation and a dedicated advocate for female empowerment in the tech industry.

Featured Quotes

• "Try something new, be a little uncomfortable, that's okay. Because I really believe that that will help open up a lot of doors."
• "I always say there's vendors and there's partners... Jack Henry was always a partner."