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Fintech Focus: Mayfair
We're showcasing fintech companies that are breaking new ground in the embedded finance landscape, and how they're using API banking to make an impact.
Our spotlight this week is on Mayfair, a platform that automates cash management for businesses. Read about how this B2B finance company, in collaboration with Treasury Prime, is using embedded finance tools to launch high-yield accounts with Enhanced FDIC Insurance provided by Third Coast Bank, SSB*. This product offers Mayfair’s business clients low risk, high yield, and exceptional liquidity, all within a superior user experience compared to traditional incumbent banks.
Embedded finance integration data
Mayfair kicked off a partnership with Treasury Prime in April and received banking API keys within 30 days of contract execution. They launched, in partnership with Third Coast Bank SSB, a high-yield bank account product leveraging Treasury Prime’s technology in July. In the first two months, Third Coast Bank SSB saw a significant growth in deposits come through Mayfair’s platform. Mayfair also worked with Third Coast Bank SSB and Treasury Prime to craft a robust Know Your Customer (KYC) identity verification program. To date, they have had no instances of fraud on the platform.
Mayfair’s innovative edge
At the core of Mayfair's innovative solutions is its automated cash management capabilities. Their platform allows businesses to intelligently direct surplus capital and streamline treasury management, ensuring excess capital is put to work automatically.
When businesses link their operating accounts to their high-yield account provided by Mayfair and Third Coast Bank SSB — currently at 4.72% Annual Percentage Yield (APY)** — they can seamlessly establish rule-based automated sweeps between the two accounts.
For example, businesses can set a predefined threshold — let’s say it’s $5 million — so that if their operating account goes above that amount, they can automatically sweep the excess to the high-yield account. Conversely, if the operating account dips below the threshold, the sweep will go the other way with the high-yield account replenishing the operating account.
This daily automated rebalancing eliminates the need for manual intervention, allowing companies to make the most of idle cash without getting bogged down in treasury management intricacies.
"No entrepreneur should spend time figuring out how to set up a treasury ladder," says Mayfair Co-Founder and COO Munish Chopra. “Mayfair’s solution handles its customers' treasury management, liberating them to focus on building their businesses.”
Mayfair’s platform facilitates access to an Enhanced FDIC Insurance product provided by Third Coast Bank SSB, utilizing Treasury Prime’s API banking software. Mayfair’s technology platform provides access to Third Coast Bank SSB’s Enhanced FDIC Insurance offering which covers deposits of up to 50 million dollars so that customers can manage large deposits and have peace of mind knowing that their funds are insured.
“We care a lot about downside risk, and we care a lot about high liquidity,” Chopra says. “Third Coast Bank’s Enhanced FDIC Insurance product, in collaboration with Treasury Prime, allowed us to build the best of both worlds.”
Embedded finance products built with Treasury Prime & Third Coast Bank, SSB
To serve their enterprise customers, Mayfair utilizes commercial bank accounts, Enhanced FDIC Insurance, and payment rails including ACH and wire transfers. All this is offered through a partnership with Third Coast Bank and accessed through Treasury Prime’s banking APIs.
In addition, Mayfair accesses auxiliary services like KYC and transaction monitoring through pre-integrated partners in Treasury Prime’s partner marketplace.
“The team at Treasury Prime is very responsive,” Chopra says. “While we understand that not every item on our wish list can be checked off, they address issues promptly. Even when we hit a few bumps in the road, they've been fair and dedicated to making things better. With Treasury Prime, we know who to call, and we get the support we need."
Future of embedded finance: expanding to a second bank partner
As they evaluate new strategies next year, Mayfair is exploring the option of further expanding the number of bank partners on its platform through the Treasury Prime network.
Having multiple banking partners could yield distinct advantages. Different banks could potentially accommodate varying aspects of their product. For example, one bank may be willing to take on international customers, while the other handles domestic transactions. Operating from a global perspective, Mayfair needs the flexibility to cater to diverse customer needs, including the ability to work with international clients. Additionally, if they wanted to add more products and other payment rails, they have the flexibility to seek out another bank partner to support their needs, and scale at their preferred pace. For the banks, having the ability to take on only the embedded banking products that best fit with their business model and strategy means they can be efficient and participate in more deals with bigger companies.
For more details about why and how to add more than one banking partner. Read our blog Best Practices for Adding a Second (or Third) Bank Partner.
*Mayfair and Treasury Prime are financial technology companies, not a bank. Banking services provided by, and Enhanced FDIC insurance only available through, Third Coast Bank SSB, Member FDIC. Customers who wish to opt into the Enhanced Deposit Protection Program must choose an account provided by Third Coast Bank SSB, and will have their funds placed into deposit accounts across a network of FDIC-insured banks for up to the current standard maximum deposit insurance of $250,000 per eligible depositor, per receiving bank, for each ownership capacity or category, including any other balances you may hold at that receiving bank directly or indirectly through other intermediaries, including broker-dealers. Third Coast Bank SSB uses a third-party vendor and agent to help administer this deposit placement process. View the Participating Institution List for a list of the banks and savings associations with which Mayfair and Third Coast Bank SSB have a business relationship for the placement of deposits at receiving banks, and into which your deposits may be placed, subject to the Terms of Service and any opt-outs by Third Coast Bank SSB or you. The current limit for access to FDIC insurance on your funds through your account is $50 million (per depositor per ownership category), subject to change at any time by Mayfair. Terms and restrictions apply.
**Annual percentage yield (APY) on your Third Coast Bank SSB account is 4.72% effective as of Jul 27, 2023 and may change at any time, before or after the account is opened. Rates will vary based upon prevailing economic and business conditions.
Wondering how embedded banking could help your business? Contact Treasury Prime — we have a true multi-bank network, the deepest bank core integrations, and extensive compliance experience. Read more about our $40 million Series C Funding and why Tearsheet named us the Best Banking as a Service company for the second year in a row. Talk to the best embedded finance team in the industry.
Additional embedded finance examples:
Launching the First Digital Community Bank for Black Entrepreneurs
How Wagestream is Helping Workers Achieve Financial Well-Being with Embedded Banking
Harnessing the Power of Embedded Banking to Build New Revenue Streams
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