Technology and cybersecurity disruption
Deposits and lending are heavily dependent on communications and information systems.
- Scope
- Digital deposit gathering, loan servicing, and online applications
- Materiality
- high
First Internet Bancorp
First Internet Bancorp is an Indiana-based bank holding company that operates through First Internet Bank of Indiana, a digital-first FDIC-insured bank founded in 1999. It offers commercial, small business, consumer, and municipal banking products, with deposits and much of its lending originated through online channels and partner networks rather than branch offices.
| % | |
|---|---|
| Deposit products | 25% Consumer, small business, commercial, and municipal deposit accounts gathered primarily through digital channels. |
| Small business lending | 20% SBA 7(a) loans and other small business credit products for entrepreneurs and emerging businesses. |
| Commercial lending | 30% C&I, construction, investor commercial real estate, and single-tenant lease financing. |
| Public finance | 10% Lending and leasing products to governmental entities and municipal securities-related activities. |
| Specialty finance | 10% Healthcare, franchise finance, and equipment finance portfolios plus related lending services. |
| Treasury and fee-based services | 5% Treasury management, card, payment, and partner-enabled banking services. |
The bank serves small businesses, entrepreneurs, commercial borrowers, municipalities, and consumers, with a strong...
- Small businesses and entrepreneursprimary
Buy SBA 7(a) loans, checking, deposits, and related banking services to fund growth and manage cash flow.
- Commercial borrowersprimary
Buy C&I loans, owner-occupied CRE, construction, and lease financing for operating and expansion needs.
- Municipal and governmental entitiessecondary
Buy public finance lending and leasing products and related municipal deposit services.
- Consumerssecondary
Use digital deposit and consumer lending products sourced through online channels and partners.
- Fintech and platform partnersemerging
Distribute deposit, payment, card, and lending products to broaden reach and acquire low-cost relationships.
First Internet Bancorp is headquartered in Fishers, Indiana and operates without traditional branch offices, using...
- •Headquartered in Fishers, Indiana
- •No traditional branch network; digital distribution is nationwide
- •C&I lending is focused on the Midwest and Southwest
- •Construction, CRE, lease, public finance, and SBA lending are national
- •Public finance serves governmental entities throughout the United States
The company is building around a digital-first banking model that combines nationwide deposit gathering with...
01
Scale SBA 7(a) lendingshort-term
Supports the bank's positioning with entrepreneurs and can broaden fee and interest income.
02
Deepen fintech partnershipsmedium-term
Partnerships can improve customer acquisition, deposit gathering, and product distribution without branches.
03
Grow digital deposits and commercial relationshipsmedium-term
A larger deposit base supports lending growth and reduces reliance on wholesale funding.
The business depends heavily on technology, third-party systems, and digital channels, so outages, cyberattacks, or...
Credit deterioration from economic conditions
Loan performance can weaken if borrowers face recession, rate pressure, or sector stress.
- Scope
- C&I, CRE, SBA, specialty finance, and consumer portfolios
- Materiality
- high
Execution risk in new products and fintech partnerships
New channels and products can strain controls, require regulatory approval, and fail to scale profitably.
- Scope
- Partner-originated deposits, payments, cards, and lending
- Materiality
- medium
Competitive pressure from digital banks and larger lenders
Competitors may have greater funding capacity, technology budgets, and lending limits.
- Scope
- Consumer banking, SBA lending, C&I, and CRE
- Materiality
- medium
Goodwill impairment
A write-down would reduce earnings and equity
Fair value estimates for loans and securities
Can affect reported asset values and gains/losses
Derivative and funding-related gains
Creates comparability issues across periods
: 28.4.2026