April 20, 2024


The Internet Generation

Virgin Money moves fast on Temenos greenfields banking build – Finance – Hardware – Software

The Bank of Queensland has moved swiftly to start off get the job done on its comprehensive stack engineering rebuild indicatively priced at $440 million, announcing its Virgin Revenue brand name will use Temenos “as its core entrance-to-again Application as a Support (SaaS) capability” for the core of its new digital financial institution.

Previously flagged to investors final thirty day period, BoQ reiterated on Thursday that the construct to create a new ‘Digital Bank’ would be up and operating by the stop of the calendar year immediately after a effective evidence of thought and will use Deloitte Electronic as its supply spouse for the rapid construct.

The price of the new construct has not yet had an formal cost tag attributed to it with fuller advice on how the indicative $440 million transformation will be carved up expected in April.

BoQ is previously an current Temenos customer but is moving to the core methods provider’s serious-time variation with Virgin Revenue staying the entrance runner for a broader rollout throughout the financial institution.

Right after some noteworthy battles with engineering, the establishment has also a short while ago had some conspicuous achievements overhauling its property finance loan platforms with that arm now growing forward of system. 

At the moment Virgin Revenue only features buyers credit history playing cards, home loans and coverage and will use the greenfields Temenos construct to provide basic transactional banking expert services like deposit accounts, debit transactions and presumably access to the New Payments System.

“We are at the starting of an interesting journey as we construct an field-foremost digital financial institution that will be wonderfully straightforward and rewarding. We are committed to delighting our buyers by supplying a seamless, stop-to-stop encounter throughout all channels,” Virgin Money’s main govt Greg Boyle stated.

“By operating with Deloitte Electronic and Temenos to deliver Virgin Revenue Australia’s new Electronic Bank, we’ve picked partners that have a strong functionality and a tested keep track of file in delivering.”

The sharp rate of the rollout is positive to prompt further speculation of a banking tie-up amongst BoQ and fellow Queensland establishment Suncorp which has even now not been in a position to get its extensive-delayed Oracle core banking system up and operating for transaction banking.

At Suncorp’s final earnings contact analysts questioned why the bancassurer was persisting with its banking participate in supplied the problems and level of competition it faces.

Earlier market place speculation about a probable tie-up amongst BoQ and Suncorp has centred all over the geographic and infrastructure synergies the pair might be in a position to realise from a marriage to create a northern challenger to the Sydney and Melbourne based Massive Four.

The dawn of Open Banking is also inserting stress on scaled-down financial institution brands as a wave of ‘pure digital’  neobanks emerges to snatch tech savvy buyers without having the overheads of branches or legacy methods.

BoQ’s a short while ago appointed CEO, George Frazis has promised investors the bank’s IT rebuild will be chunked down into digestible individual projects more than five years that will slowly arrive with each other –rather than embarking on a big bang rebuild.

“We are not possessing any massive programs that go on for several years… which is exactly where I have noticed, in my earlier encounter, exactly where you get a tiny unstuck,” Frazis stated late final thirty day period.