Is Your Third-Party Overdraft Provider a Partner or Just a Vendor?

Posted by Michele Rehm, Marketing Manager on Jun 8, 2016 11:19:01 AM


First of all, let us be clear: we do not think vendors are bad. Third-party vendors play a valuable role in most financial institutions’ everyday operations.

However, from our perspective, a vendor relationship and a partner relationship are not the same; and when it comes to your overdraft program, a vendor just won’t cut it.

Managing a service that generates such a large percentage of your institution's overall non-interest income requires a true partner to your company. This partner should work as an extension of your business understanding and anticipating your goals and needs.

  • Transactional products or services with little concern about how they fit in to your business
  • Limited-to-no interaction with your company after the product or service is purchased
  • A focus on lower prices, not on improved performance and value
  • Tasks that require little input from the provider
  • No customization or product flexibility
  • Industry expertise & ongoing technology advancement
  • An ongoing, long-term relationship after the sale
  • Custom product/service options
  • A positive customer experience with relation to the service
  • Creation and interpretation of data
  • Subject matter expertise
  • Proactive enhancements based on data












An overdraft service PARTNER communicates with you frequently, provides proactive data analysis, evaluates and makes suggested revisions to your program on an ongoing basis. In doing so, your institution can maximize revenue, manage risk and provide world-class service to your account holders.

Is your third-party overdraft provider your partner? Download our Overdraft Provider Partner Checklist to find out.

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Topics: Overdraft Protection, Overdraft Provider, Provider Patnership