VersaBank launches first US real-time structured receivables programme with ECN Capital

VersaBank has implemented its Real-Time Structured Receivable Program in the US for the first time, allowing ECN Capital to move individual point-of-sale loans into the bank’s funding structure within hours rather than warehouse receivables for days before financing them.

The Canadian-headquartered digital bank announced the US implementation on 1 September. Its existing Structured Receivable Program, formerly called the Receivable Purchase Program, provides funding against cash-flow streams generated by consumer and small-business loans and leases originated by financing partners.

The real-time version removes the need for a partner to accumulate multiple receivables for a typical five to 30 days or more before placing them into the structure. VersaBank says individual underlying loans can instead be processed within hours, reducing the amount of interim warehouse financing required by the originator.

That shift is particularly relevant to specialist point-of-sale lenders. Conventional warehouse facilities bridge the period between loan origination and the point at which enough assets have accumulated for a larger funding or securitisation transaction. Compressing that interval can reduce duplicated funding layers and shorten the period for which the originator must finance newly created assets itself.

VersaBank also uses its internal AI platform to evaluate the loans underlying SRP receivables individually. The bank says that improves its risk assessment, although the economic and risk benefits attributed to the system remain company claims. The September announcement did not disclose the value of receivables moved through ECN Capital’s real-time implementation.

The underlying relationship is not new. ECN subsidiary Source One had already received more than US$90m of funding from VersaBank by December 2025. What changes now is the operating model used to feed new receivables into the programme.

VersaBank launched the large-scale real-time product in Canada with Financeit on 29 June. At the end of its second fiscal quarter, US SRP credit assets stood at US$604.9m and the bank said it was targeting at least US$1bn of additional US SRP fundings during fiscal 2026. Those are portfolio and target figures, not amounts attributable to the ECN implementation announced this week.

For receivables finance, the significance is therefore less about a new facility size than the point at which external funding enters the asset cycle. VersaBank is attempting to move structured receivables finance closer to the moment each underlying loan is originated.