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Omniwire is a financial technology company, not a bank. When your product holds deposits, moves money or issues cards, a chartered, FDIC-insured partner bank sits underneath it. That bank is usually called the sponsor bank. Here is what it does, and why it shapes how your product is built.
Who holds the funds
Customer money is held at the partner bank, typically in accounts opened for the benefit of your end users. A ledger tracks each user’s share. FDIC insurance covers the failure of an insured bank and is subject to applicable limits; it does not cover the failure of a fintech.
Who owns the risk
The bank is regulated and answers to its examiners for every program it sponsors. That makes it accountable for how customers are onboarded, how transactions are monitored and how complaints and disputes are handled — even when the product in front of the customer is yours.
Which checks run before a dollar moves
- Identity (KYC). Customers are verified before an account opens.
- Sanctions screening. People and counterparties are checked against sanctions lists.
- Transaction monitoring (AML). Activity is watched for patterns that need review or reporting.
- Disputes. Consumer error claims follow Regulation E timelines.
What this means for you
Plan for the bank from day one: program design, marketing review and launch approval all go through it. Omniwire builds KYC and AML into the platform so those checks run the same way on every rail. For the details, see Compliance & security.