Playing The 'What If' Game When Reviewing Fintech–Bank Partnership Agreements

In this edition of Fintech Flash, we discuss important things to consider when reviewing fintech-bank partnership agreements with a particular focus on their transition sections implicated when agreements are terminated or not renewed and the program ends. Program and platform agreements should comprehensively cover transferring users to a successor bank or platform. This Flash provides practice tips on what to include in a robust transition section.

You have to play the "What If" game when reviewing bank partnership agreements for fintech companies. This game is a pressure-testing exercise, asking yourself as you read through program and platform agreements whether there is adequate contractual coverage if something big happens. Of course, you have to be judicious in doing so, recognizing you may not have leverage on certain points and understanding each party's desire to negotiate the agreements full speed ahead.