Participate, a BankLabs of Little Rock company, has partnered with Community Capital Technology of New York to create a first-of-its-kind, scalable platform designed to help financial institutions access a broad, technology-driven network for loan trading, risk management and capital optimization.
The collaboration aims to enhance liquidity solutions and loan sales efficiency for financial institutions. It will integrate Community Capital’s lender network and proprietary deal sourcing platform with Participate’s loan trading automation and post-sale servicing capabilities.
Together, Participate and Community Capital work with more than 25% of financial institutions in the United States. The combined solution aims to enable banks, credit unions, farm credits and other lenders to buy, sell, and originate loans with greater efficiency, spanning all asset classes and loan types.
“The U.S. banking system is at an inflection point where liquidity management and balance sheet optimization are more critical than ever,” Mike Montgomery, chairman and CEO of BankLabs, said in a press release. “By joining forces with Community Capital, we are strengthening the lending marketplace with an integrated solution that makes it easier for financial institutions to move capital where it’s needed most while supporting their long-term growth and stability.”
Financial institutions that use the platform will receive a single network of counterparties for loan sourcing and sales, automated execution of loan origination and post-sale servicing, analytics to optimize loan strategies and connectivity with leading platforms such as nCino, Fiserv and FIS.
“Our goal has always been to empower financial institutions with the best tools to efficiently and confidently navigate loan sales,” Matt Johnner, co-founder and president of Participate, said in the release. “With Community Capital’s best-in-class loan marketplace and Participate’s automation capabilities, we are equipping lenders with an innovative, scalable solution to maximize profitability, enhance liquidity and optimize risk management strategies.”
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