Facing multi-bank audits? Here’s how the right audit firm saves time and cuts risk

Every fintech is unique, from the products it offers to the way it structures partnerships with banks, credit unions, and third-party vendors. As fintech companies grow, it is common (and wise) to establish multiple banking partnerships. Doing so helps protect business continuity and builds resilience in the long term. However, with multiple partners comes a familiar challenge: meeting the varied and sometimes conflicting audit expectations of each chartered institution.

Each bank or credit union has its own risk appetite and contractual audit requirements. In some cases, additional requirements may come from third-party agreements, such as software providers in a tri-party arrangement with the fintech and the bank. As a result, fintechs often face overlapping compliance demands that create operational strain.

This is where the right audit firm adds value by helping you coordinate across partners, avoid duplicative testing, and meet each bank’s expectations with consistency and ease.

Why Banks Are Getting Involved in Audit Scoping

A trend we are seeing more frequently is banks and credit unions requesting direct involvement in the audit scoping process. They want to confirm the fintech selects a reputable audit firm capable of providing sufficient assurance over critical areas like Bank Secrecy Act/Anti-Money Laundering (BSA/AML) and compliance management systems (CMS).

When multiple banking partners are involved, fintechs may be required to generate separate audit reports or conduct tailored testing for each relationship. This increases the complexity of audit coordination and introduces additional burdens on internal teams. While some core programs can be tested across all relationships, product-level testing often needs to align with the unique requirements of each partner.

An experienced audit team brings strategic insight that helps your fintech scale partnerships, control costs, and build trust with banking partners.

The Burden of Overlapping Audit Demands

It’s not uncommon for each bank to have different compliance priorities. One may focus on BSA/AML controls, another on CMS, and a third on information security framework. Some may want quarterly targeted reviews, while others require a comprehensive annual audit with specific testing procedures.

This misalignment creates administrative overhead, repeated testing, rising audit costs, and coordination challenges across departments. Inconsistent audit responses or perceived gaps can weaken partner confidence or put future collaborations at risk.

Interested in how to evaluate the effectiveness of your BSA/AML program? Read our article here.

Why Your Audit Firm Choice Matters

A knowledgeable, well-rounded audit team helps consolidate and align your audit approach across partners without sacrificing specificity where it counts.

The right audit firm will:

• Understand the dynamics of multi-bank and multi-vendor partnerships.
• Recognize the regulatory drivers behind your partners’ audit expectations.
• Harmonize core compliance testing across relationships.
• Tailor product- or partner-specific procedures without disrupting operations.
• Communicate findings clearly to stakeholders.

Rather than treating each audit as a siloed engagement, a seasoned audit team looks at your program holistically, promoting trust across your partner network. When banks and vendors see that your fintech has taken a thoughtful, organized approach to meeting multiple audit expectations, it strengthens your reputation as a reliable partner.

Tailoring Without Overcomplicating

Another benefit of working with an experienced audit firm is their ability to strike the right balance between customization and standardization. Each of your partners will want to see that specific risks tied to their relationship are being addressed. However, fully custom audits for each institution are rarely sustainable—and often unnecessary.

Instead, your audit firm should help identify which components of your control environment are universal and which require customization. For example:

• Universal testing may include your overarching complaint management process, IT general controls, governance framework, or policies and procedures.
• Custom testing may focus on specific products offered under a certain bank partner, unique servicing models, or targeted fair lending analytics for one program.

When this level of segmentation is handled thoughtfully, fintechs are better positioned to respond to requests without increasing costs or complexity. Audit documentation can be structured to satisfy different stakeholder needs while still operating from a single, integrated testing plan.

Building a Scalable Audit Strategy

As your business expands, so will your compliance burden. Establishing an efficient, scalable audit approach now allows you to manage increasing oversight with fewer surprises and less disruption down the road.

In practical terms, this means:

• Engaging audit professionals who are familiar with both fintech operations and bank regulatory expectations.
• Coordinating scoping conversations with your partners up front.
• Defining an audit calendar that meets partner timelines without overburdening your team.
• Using consistent reporting formats that can be adapted for various stakeholders.

All of these steps contribute to an environment where audit obligations support growth, rather than hinder it.

We Can Help

At Elliott Davis, we work with fintechs at all stages—from early growth to large-scale platforms managing dozens of bank and vendor relationships. Our team understands both the technical demands of audit execution and the strategic dynamics of bank-fintech partnerships.

We don’t believe in one-size-fits-all approaches. Instead, we work alongside your team to develop audit strategies that support operational goals, reduce friction, and reflect the maturity of your compliance environment. Whether you need targeted testing, full-scope compliance audits, or guidance on managing multi-bank relationships, we’re here to help.

Contact us today to learn how our tailored audit solutions can support your growth and position your fintech as a trusted partner in a highly regulated industry.

The information provided in this communication is of a general nature and should not be considered professional advice.  You should not act upon the information provided without obtaining specific professional advice.  The information above is subject to change.