The State of Financial Services and Welcome to Money Experience Summit 2025

Well, thank you

and on behalf of the whole team at MX, welcome

to the beautiful Deer Valley in Utah

and we thank you so much for making this trip here.

So reflecting on this incredible group of people

that are here in the room today, I'm struck

by the commonalities between you, you

and the companies you represent are committed to action.

Turning data into action is the core of what we do at MX,

and that's why we bring you all together.

We've seen brilliant partnerships form friendships

when we assemble groups like this.

You connect, you share, and you have fun.

We're also proud to be hosting the Financial Data Exchange

board meeting today, so make sure you say hi.

over lunch, the board directors will be around.

And now please join me in welcoming our esteemed guest,

the Honorable Rodney Hood, who's a technology-forward

former banker, former federal regulator,

and a longtime advocate for financial inclusion.

Thank you Chairman Hood, for being here with us today.

Good Morning. Wow,

what a great looking crowd.

Especially after last evening's festivities.

You all rested quite well.

I can't begin enough to say, ladies

and gentlemen, that it is indeed an absolute honor

to open the Money Experience Summit here in Deer Valley,

Utah, hosted by our dear friends at MX, an institution

that has made its name

by transforming the financial experience as it looks

to empower the world to be financially strong.

Thank you for the kind invitation to join you today, Jane.

And I know Ryan Caldwell is here somewhere.

Thank you all at MX.

But most importantly y'all, please join me in applauding all

of the folks who planned this event.

They have done so seamlessly with great aplomb. Here, Here.

Let me begin you all with a quick quote

that captures the spirit of our gathering today.

And I quote, innovation is not about ideas,

it is about making ideas happen.

End quote, these words remind us that progress

and financial services comes when vision is translated into

execution, partnerships and tangible outcomes for consumers.

As Jane mentioned,

I am in fact the former Acting Comptroller of

the Currency, former NCUA Chairman.

And what makes me unique is that I've had the vantage point

of seeing both the regulatory system for banks

and credit unions and

that's given me a wonderful vantage point to see

how resilient and

how adaptable our U.S. financial institutions are today.

In fact, today our banking system

comprises over $30 trillion in assets.

The FDIC has reported along with the OCC, my old agency

and the NCUA, that all

of our regulated entities are well capitalized

and they have great liquidity.

Our institutions are profitable

and they are indeed positioned to withstand volatility.

I mentioned this to you all this morning

because this resilience is the very foundation

that makes partnerships for fintechs possible and necessary.

Technology has become the primary way

consumers experience money. It’s how they budget, borrow,

save, and invest.

And companies like MX are redefining that experience.

By turning raw data into clarity,

MX empowers consumers

to see their financial lives holistically

and in fact make very confident decisions.

This isn't convenience,

it's empowerment, it's inclusion.

MX proves that financial data when delivered transparently

and responsibly can close gaps in access

and in fact promote fairness.

Many of you who have heard me know this,

I know Jennifer Tescher knows this,

and I've often said that financial inclusion is indeed the

civil rights issue of our time.

I've said that not just when I was in government service,

but also in private service.

But at NCUA, I launched the Office of Innovation

and Access, which helped credit unions adapt to technologies

to reach underserved communities.

At the OCC I reestablished the Office

of Financial Technology, the first of its kind

among U.S. regulators.

These efforts signaled a very clear message.

Regulators understand

that innovation when managed responsibly can be a

powerful tool for inclusion.

And today, fintechs like MX Approving

that responsible data use

and fairness can be embedded into every digital experience.

As a former regulator

and a banker, I'm often asked, what do partnerships

that are successful look like?

I'm gonna briefly give you three.

First API data sharing. Banks partner

with MX allow customers to view all accounts: checking,

savings, loans, investments,

and one secure holistic dashboard.

That builds trust and confidence.

Second success model. Alternative credit modeling.

Credit unions, for instance, working with fintechs

to use rental and utility data have responsibly

extended credit to those who have been left vulnerable

to payday lenders and whatnot.

And it's been the credit invisible

of which there are about 70 million.

And then third example of a great success,

personalized financial guidance.

Institutions using fintech tools

to provide real time nudges, helping families save

for emergencies, avoid overdrafts and pay down debt.

These are all making a direct impact on financial health.

What's the common thread? The common thread is simple.

A strong, well capitalized institution,

a responsible innovation partner like MX,

and a shared focus on customer outcomes.

But as we look ahead, we can't ignore the growing role

of stable coins in digital assets.

Whether one views them with excitement

or caution, the reality, ladies

and gentlemen, is that millions

of Americans are already engaged

with these emerging technologies.

Roughly 50 million American households,

hold crypto assets according to the Federal Reserve surveys.

For banks, credit unions and fintechs alike,

the challenge you all is not whether to engage

but how to do so responsibly.

These technologies hold promises for faster payments,

expanded access, and new models for financial inclusion,

but they also pose risk if not integrated prudently

and pragmatically.

That is why it is so important for partnerships

between banks, credit unions

and fintechs to begin building awareness

and their models today.

Some may ask, but Rodney, you've worked

with all the regulators, at least in tandem

and you've been on various committees.

Are the regulators aligned?

And my answer to that is a resounding yes.

The OCC, the Federal Reserve,

and the FDIC are all deeply engaged on digital innovation.

From issuing and interpretive guidance on crypto custody

to exploring central bank digital currency,

to collaborating on supervisory frameworks.

In fact, I was one of the first regulators

to allow our national banks

to engage in crypto custody within

my second week on the job.

I also emphasized the principle of effective

but not excessive regulation

that remains the guiding philosophy.

Innovation and regulation are not enemies,

they are compliments.

So ladies and gentlemen,

before I sit down with Jane, I want you to know

that the future is indeed bright.

Our financial system is strong, our regulators are engaged,

and our innovators, companies like MX, are proving

that technology, data,

and partnerships can create a more inclusive

and resilient financial system.

Let us seize the moment to ensure innovation is not

just about efficiency, but about access.

Not just about speed, but about trust.

Not just about technology, but about people.

So as I close, I leave you

with the words from Winston Churchill

and I quote, “The empires

of the future are the empires of the mind.”

If we bring together strong institutions,

innovative partners,

and a shared vision for financial inclusion, the future

of finance would be nothing short of transformative.

So with that ladies and gentlemen, I will now sit down

with our dear friend Jane Barratt for a bit

of a fireside chat.

So I'll see you in just a bit. Over here.

Well, thank you so much for those wonderful comments.

As you said, you've had a very unique vantage point across

the spectrum of the industry.

How would you describe the current state

of financial services

and where does data sit in driving the next chapter of

as Winston Churchill, the empires

of the mind, how are we gonna move forward?

Exactly. Well first of all, you all, as someone

who has had the perch of looking at banks

and credit unions, the credit union

and banking system have never been stronger.

I mentioned earlier the capital levels are high,

the liquidity levels are high.

That means that the banks

and credit unions that are represented here today,

you all can take on these new challenges

because you don't have to worry about capital,

you don't have to worry about any of the other issues

related to safety and soundness

because the underpinnings are there.

But Jane, as it relates to data, I think that we need

to ensure that we're looking at data strategically.

I think we have mounds of data,

but how are we using that data

as the new competitive advantage?

Let's look at things such as predictive risk.

How can we look at data to prevent,

not only prevent, but identify fraud.

For instance, I got a call the other day from my banker,

telling me that someone was in a different part

of the country trying to buy blonde hair extensions

and they knew that that wasn't my typical buying pattern.

And it really isn't you all. I don't sit at home in DC

with blonde hair extensions.

So the point is how are we using data strategically,

competitively, and how do we use it as our advantage?

But I think that if you're gonna look at the data,

don't just examine it.

Really make sure that you're using it

to personalize the customer experience.

And I would also say, let's adhere to the responsibilities

of that data and what am I getting at there?

Making sure that you're being great stewards of the data,

looking at privacy, you looking at controls

and all those types of things.

But the main that I want to say is that it's data to be used

and, and I think you all at MX have fared it out

opportunities and great use cases.

So that's the one thing that I would say that I'm most proud

of, that the data that we have

to today when used strategically will really create some

win-win customer experiences.

Mm-hmm.

So there's many people in the room that really struggle

with legacy technology systems where you sort

of build on top of old cause

and middleware like it is deeply complex.

And at the same time, these financial providers have

enormous pressure to modernize.

So what role do you see technology partners playing in

modernization and creating

that resilient consumer-first ecosystem?

I think the role that technology providers can play is

first of all working

to understand the financial systems they're working with.

It's not a one-size-fits-all model,

and I know that MX understands that.

And for the banks and credit unions in the room, making sure

that you are one meeting with your examiners,

meeting with your regulators.

I know that may sound counterintuitive,

why would we want to do that?

And it's because they need to be a part of your journey

as you are making this this new bold step

because it keeps you from having surprises

during the examination process.

But the important thing though about the technology

partnerships is that the banks

and credit unions you have the customers,

the fintechs are the ability

to provide those agile technological solutions.

So when you bring the two of those together,

you're able to have a win-win.

But Jane, you mentioned the legacy systems.

So I've been meeting with FIS, Jack Henry and Pfizer

and talking about how do we remove those pain points.

I recognize that some of the larger G-SIB banks,

they really can buy the solution,

but some of the smaller institutions cannot.

And I think from what I'm hearing, you will see a lot

of the legacy providers looking to provide more solutions,

for the community banks and for the credit unions

and really being more of a partner,

not just selling a service

but selling a solution that can really be transformative.

But the main thing is about the dialogue involving your

regulators on that journey,

but also making sure that as you embrace the fintechs,

that they get to understand you and you understand them.

Because I often see some folks, they will choose a provider,

but they don't recognize all of its opportunities.

They're choosing it because the peer across the street did.

So I think again, let's just look at knowing the people

with whom you're doing business and we'll go from there.

That's great. Well, you've,

you've been consistently vocal

and passionate about financial

inclusion throughout your career.

So how do you see data paired with the right partnerships

as being a driver of serving underserved communities?

Oh, the data that we have access to today, I look at it

as a strategic imperative.

I love the fact that when I mentioned from the podium

that some of the things that you were seeing,

let me go a little deeper.

The data that you're seeing through the Office of Reach,

that was a group with that, the OCC, it's the Roundtable

for Economic Access and Change.

It was the group, you all, that really helped a lot

of the banks in this room

and beyond look at using cashflow lending.

They were the ones that helped us test and validate that.

Or during my time at the NCUA where we created the office

of not only financial technology

but access advancing communities through credit, education,

stability, and support. What we're finding is

that the data is being used now more creatively.

We're not just looking at traditional credit reporting

technology, but we're looking now at the holistic thing.

How have you paid your rent, your

utilities and things of that nature?

Those are some of the strategic use cases that we're seeing.

And if there's anything I want to take away with

that you all wanna take away to

that is the regulators are here to help you all.

I know that does sound bizarre,

but they really are, the regulators, all of the ones

with whom I've worked in the past

and even presently, they are looking

to advance community investment, economic development,

and not just through the Community Reinvestment Act, but

because they recognize if we're gonna have a strong

functioning economy, we need to have all

of those individuals in the mainstream economy.

And the reason I take financial inclusion so seriously is

because I knew what happens when you don't have access.

I know about the 40% of our American households

who don't have access to $400 in an emergency

or the 77 million households who are credit invisible.

You all these individuals are not just left vulnerable

to pernicious predatory payday lenders,

but if you don't have a credit score,

you can't get the car to go to and from work.

You can, in many instances, in many

of the companies here without a credit

score, good luck getting a job.

And also, what about the budding entrepreneurs

who need credit to advance their ideas

and bring those to fruition?

Those are all of the things

that if you don't provide financial inclusion, a lot

of hope it's diminished.

So big picture is let's use data plus partnerships

to have inclusion at scale.

I love that. Did you see in your time at the NCUA

or OCC particular institutions —

You don't have to name them by names, you can use anecdotal,

but ones that really expanded their member base

or customer base by deploying programs like this.

I did. We have seen a number of institutions, you all

that have been able to not only grow market share,

but to grow customer loyalty.

Imagine that 40% of households that I just mentioned that

who could not typically get a loan for $400.

Well, think about it. When that bank

or credit union for that matter, when they make

that investment in them that is building trust,

they are then able to recognize that this is an organization

that cares about them.

They can go from getting that loan to getting a credit card

to getting a mortgage and all that.

So what has happened is it's been great marketing

and then it's not though meant to be turned on

and off like a faucet.

Yes, it has to be an iterative, ongoing process.

And Jane and Jennifer,

and I know Jennifer talks a lot about financial inclusion,

you all, I have evolved in my whole premise

around financial inclusion.

I, in my early days as a young banker

and even as a regulator, I'm afraid to say

that I often left people with the notion

that if I got you into the door to get a checking account

or a savings account, you were

financially included.

That's not the case. I've evolved now

where we're looking at financial inclusion,

holistically checking account savings, account mortgage,

but also retirement accounts.

Are we looking at 401Ks?

Are we looking at everything that it takes

to be full in the economic spectrum?

So that is the one piece that I will say

that we're starting to see more people now. That's great.

I love that. So in our last minute here, the,

we're talking about turning data into action,

across the course of today.

If you were to charge the people in the room with one thing

to think about, what would it be?

Regards data into action?

I would say the one takeaway that I'd like for you

to have is that I want you to view data not just

as a metric, but as a narrative of our lives.

Not just looking at the numbers,

but looking at the story it tells, looking at

what it tells you about that individual, about that family.

And that is how you're not going to be able just

to meet their needs.

You're gonna be able to anticipate those needs.

So that is how I would like to encourage you.

As we say goodbye shortly, use it as a narrative.

Well, Chairman Hood, we are

so thrilled to have you here today.

You have kicked off such a wonderful conversation

and you've been so available to everybody here.

So if you haven't had the chance

to say hello, please do today.

But thank you so much for joining

us. And thank you for having me, Jane.

Of course. You are the consummate professional enough.

I've enjoyed knowing you now for almost a decade.

Yeah, so great to be with you all.

I will be here throughout the day.

That shouldn't frighten you.

I hope that gives you encouragement,

but I want to see you all and catch up with you.

And to stay in touch, I'm on LinkedIn

and I love being engaged with partners like all of you

because I'm sure that there's some things you're working on.

Who knows if perhaps we can work together

on, a partnership with that. Thank you. Perfect. Thank

you so much.