Jesse Silverman, counsel in Troutman Pepper’s Consumer Financial Services Practice Group, was quoted in the July 3, 2024 American Banker article, “What Is a BaaS Bank’s Responsibility Post-Synapse Collapse?

“Moreover, it is impossible for a consumer to tell if a fintech, middleware provider or bank is accurately maintaining these records,” points out Jesse Silverman, counsel at Troutman Pepper.

“For banks, that means requiring real-time access to account ledgers and improving communication with consumers,” said Silverman.

“It’s been devastating to listen to the bankruptcy hearing and to consumers calling in,” he said. The fintech is the face of the customer relationship, “but the bank should require its partners to provide more clarity.”

The form that disclosure takes is an open question.

“It’s something I am very much thinking about in my practice and what to advise clients,” said Silverman. “But one thing that is clear is there is major customer confusion and everyone in the ecosystem needs to do a better job of clarifying.”

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