Gilles Gade, the CEO of Cross River Bank, has been a driving force behind the company's innovative approach to banking. He has a strong background in finance, having previously worked at Goldman Sachs.
Gade's leadership has been instrumental in shaping the bank's culture, which prioritizes collaboration and customer-centricity. This approach has helped Cross River Bank build strong relationships with its clients.
Under Gade's guidance, Cross River Bank has expanded its services to include a range of innovative products, such as mobile banking and digital payment solutions. These services have been well-received by customers, who appreciate the convenience and flexibility they offer.
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Sponsor Bank: Gilles Gade
Gilles Gade founded Cross River Bank in 2008, a time when the financial crisis had curtailed many kinds of consumer and small business credit.
Gilles points to fintech lenders like Affirm, Lending Club, and Sofi as innovators that are opening up more inclusive finance.
Most fintech companies are licensed by their states but are not banks, which means they have to find a bank to clear payments and connect to the payments system.
For another approach, see: Quickbooks Online Payments Bank to Bank
Gilles emphasizes that regulatory issues are the biggest challenge for the fintech world, citing the Madden v. Midland litigation and the "valid when made" doctrine as issues that need clarity.
The sheer uncertainty of technology change outstripping traditional regulatory change mechanisms makes it difficult for lenders to build stable business models.
Episode 500
Cross River Bank's CEO, Gilles Gade, was a guest on a special 500th episode of the Fintech One-on-One podcast. He was a big name to have on the show.
Gilles was first interviewed on the podcast way back in Episode 32 in March 2015, when Cross River Bank was just starting out. Since then, a lot has changed.
Cross River Bank has become a market leader in Banking-as-a-Service (BaaS) and has expanded beyond its initial focus on marketplace lending. They've also developed their payments capabilities.
Here are some key points discussed in the episode:
- The origin story of Cross River Bank
- How Cross River has been able to stay as a leader in the fintech lending space for over a decade
- The staggering numbers of loans that have flowed through Cross River
- How they expanded beyond the lending space
- Why they moved away from the core providers to develop their own banking core
- The points Gilles made in his recent American Banker op-ed
- The lessons learned from the recent challenges in the BaaS space
- Gilles' thoughts on the higher bar now required to work with a BaaS bank
- What was behind their decision to start an investment bank earlier this year
- The scale that Cross River Bank is at today
Frequently Asked Questions
What happened to Cross River Bank?
In May 2023, the FDIC ordered Cross River Bank to address its "unsafe and unsound" practices related to fair lending laws and regulations. The bank was prohibited from entering into new partnerships or offering new credit products without FDIC approval.
Who is the CFO of Cross River Bank?
The CFO of Cross River Bank is Geoffrey Kott. He oversees the bank's financial operations and strategy.
Is Cross River Bank a reputable bank?
Yes, Cross River Bank is a reputable institution, chartered by the State of New Jersey and insured by the FDIC, ensuring high standards of compliance and consumer protection. Learn more about our commitment to regulatory excellence.
Sources
- https://www.touro.edu/news--events/stories/cross-river-ceo-talks-about-moving-from-the-yeshiva-to-the-c-suite.php
- https://regulationinnovation.org/podcast/sponsor-bank-cross-river-banks-ceo-gilles-gade/
- https://knowledge.wharton.upenn.edu/podcast/knowledge-at-wharton-podcast/banking-platform-propels-cross-river-bank/
- https://podcasts.apple.com/us/podcast/episode-500-gilles-gade-ceo-founder-of-cross-river/id766693555
- https://www.crossriver.com/newsroom/sponsor-bank-cross-river-banks-ceo-gilles-gade
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