Cross River Bank Becomes PPP Behemoth

Cross River Bank does not share many of the same qualities as some of the nation’s largest banks since they only have one branch and a few billion in assets; but the firm proved to be the little engine that could by churning out more than 100,000 PPP loans to small businesses; only three banks doled out more loans, Bank of America, JPMorgan Chase and Wells Fargo; “This is in our DNA,” said Gilles Gade, Cross River’s Founder and CEO, to the New York Times. “It’s exactly what we were built for.”; the bank has spent more than a decade building a practice that catered to fintechs looking to compete in the digital banking and online lending worlds; the average PPP loan is about $111,000, but Cross River’s are much smaller: $44,062 on average, by far the lowest of the program’s 15 largest lenders; the bank relied in part on partners like Gusto which processes payrolls for more than 100,000 SMBs; servicing the loans is a task unto itself, this is where the fintech Scratch stepped in and Gade is cautiously optimistic the partnership will go smoothly; Cross River has proven that technology can close the gap and more importantly help to save those that needed saving the most; “Every loan we send out, we’re saving businesses,” Gade said. “We’re saving paychecks — we’re saving lives. That’s really the way we look at it.” New York Times.

  • Todd is the host of PitchIt: the fintech startups podcast, a weekly interview show featuring emerging fintech founders and leading venture capitalists. He is responsible for leading the content team which covers fintech through daily & weekly email newsletters, editorial, virtual events, and in-person conferences. He has been covering fintech, banking, and venture capital for more than 15 years, including speaking regularly at industry events.

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