Form 8-K - Current report

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): January 30, 2025

FINWISE BANCORP

(Exact name of registrant as specified in its charter)


Utah	001-40721	83-0356689
(State or other jurisdiction of incorporation or organization)	(Commission file number)	(I.R.S. employer identification no.)

756 East Winchester St., Suite 100

84107

Murray,

Utah

(Address of principal executive offices)

(Zip code)

Registrant’s telephone number, including area code: (801) 501-7200

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:


☐			Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐			Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐			Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐			Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).


Emerging growth company			☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of exchange on which registered
Common Stock, par value $0.001 per share	FINW	The NASDAQ Stock Market LLC

Item 2.02Results of Operations and Financial Condition.

Attached and incorporated herein by reference as Exhibit 99.1 is a copy of the press release of FinWise Bancorp (the "Company"), dated January 30, 2025, reporting the Company's financial results for the fiscal quarter ended December 31, 2024.

The information set forth under this “Item 2.02 Results of Operations and Financial Condition,” including Exhibit 99.1 attached hereto, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing.

Item 7.01Regulation FD Disclosure.

The Company has prepared materials for presentation to investors. A copy of the materials is furnished as Exhibit 99.2 to this Current Report on Form 8-K and is incorporated herein by reference. The information set forth under “Item 7.01 Regulation FD Disclosure,” including Exhibit 99.2 attached hereto, shall not be deemed “filed” for purposes of Section 18 of the Securities Act of 1934, as amended, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing.

Item 9.01Financial Statements and Exhibits.

(d)Exhibits


Exhibit No.						Description

99.1						Press Release dated January 30, 2025
99.2						Investor Presentation of FinWise Bancorp dated January 2025 (furnished pursuant to Regulation FD).
104						Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, FinWise Bancorp has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


DATE: January 30, 2025			FINWISE BANCORP

			/s/ Robert Wahlman
			Robert Wahlman
			Chief Financial Officer and Executive Vice President

Exhibit 99.1

FINWISE BANCORP REPORTS FOURTH QUARTER AND FULL YEAR 2024 RESULTS

- Loan Originations of $5.0 Billion for 2024, including $1.3 Billion for Fourth Quarter -

- Net Income of $12.7 Million for 2024, including $2.8 Million for Fourth Quarter -

- Diluted Earnings Per Share of $0.93 for 2024, including $0.20 for Fourth Quarter -

MURRAY, UTAH — January 30, 2025 (GLOBE NEWSWIRE) — FinWise Bancorp (NASDAQ: FINW) (“FinWise” or the “Company”), parent company of FinWise Bank (the “Bank”), today announced results for the quarter and fiscal year ended December 31, 2024.

Fourth Quarter 2024 Highlights

•Loan originations totaled $1.3 billion, compared to $1.4 billion for the quarter ended September 30, 2024, and $1.2 billion for the fourth quarter of the prior year

•Net interest income was $15.5 million, compared to $14.8 million for the quarter ended September 30, 2024, and $14.4 million for the fourth quarter of the prior year

•Net income was $2.8 million, compared to $3.5 million for the quarter ended September 30, 2024, and $4.2 million for the fourth quarter of the prior year

•Diluted earnings per share (“EPS”) were $0.20 for the quarter, compared to $0.25 for the quarter ended September 30, 2024, and $0.32 for the fourth quarter of the prior year

•Efficiency ratio1 was 64.2%, compared to 67.5% for the quarter ended September 30, 2024, and 56.0% for the fourth quarter of the prior year

•Nonperforming loan balances were $36.4 million as of December 31, 2024, compared to $30.6 million as of September 30, 2024, and $27.1 million as of December 31, 2023. Nonperforming loan balances guaranteed by the Small Business Administration (“SBA”) were $19.2 million, $17.8 million, and $15.0 million as of December 31, 2024, September 30, 2024, and December 31, 2023, respectively

“Our fourth quarter results capped off a strong 2024 for FinWise, as we made significant progress in our goal to expand and diversify our sources of revenue to enhance the company’s long-term growth,” said Kent Landvatter, CEO of FinWise. “We were also pleased with the rebound in loan originations from existing programs, as well as the number of new strategic programs we announced, including four new Lending programs, two of which include our Credit Enhancement product, one Payments and one Credit Card program. As we look ahead to 2025, we are excited about the outlook, and currently anticipate continued stability in originations from existing programs, acceleration in production from new and ramping programs, a strong pipeline for new partners and remain committed to generating positive operating leverage.”

1 See “Reconciliation of Non-GAAP to GAAP Financial Measures” for a reconciliation of this non-GAAP measure.

Selected Financial and Other Data


($ in thousands, except per share amounts)	As of and for the Three Months Ended									As of and for the Years Ended
	12/31/2024			9/30/2024			12/31/2023			12/31/2024			12/31/2023
Amount of loans originated	$	1,305,028		$	1,448,251		$	1,177,704		$	5,015,662		$	4,303,361
Net income	$	2,793		$	3,454		$	4,156		$	12,742		$	17,460
Diluted EPS	$	0.20		$	0.25		$	0.32		$	0.93		$	1.33
Return on average assets	1.6		%	2.1		%	2.9		%	2.0		%	3.5		%
Return on average equity	6.5		%	8.3		%	10.8		%	7.7		%	11.9		%
Yield on loans	14.01		%	14.16		%	16.21		%	14.47		%	17.05		%
Cost of interest-bearing deposits	4.30		%	4.85		%	4.82		%	4.57		%	4.22		%
Net interest margin	10.00		%	9.70		%	10.61		%	9.99		%	11.65		%
Efficiency ratio(1)	64.2		%	67.5		%	56.0		%	64.9		%	53.4		%
Tangible book value per share(2)	$	13.15		$	12.90		$	12.41		$	13.15		$	12.41
Tangible shareholders’ equity to tangible assets(2)	23.3		%	24.9		%	26.5		%	23.3		%	26.5		%
Leverage ratio (Bank under CBLR)	20.6		%	20.3		%	20.7		%	20.6		%	20.7		%
Full-time equivalent employees	196			194			162			196			162

(1) This measure is not a measure recognized under United States generally accepted accounting principles, or GAAP, and is therefore considered to be a non-GAAP financial measure. See “Reconciliation of Non-GAAP to GAAP Financial Measures” for a reconciliation of this measure to its most comparable GAAP measure. The efficiency ratio is defined as total non-interest expense divided by the sum of net interest income and non-interest income. The Company believes this measure is important as an indicator of productivity because it shows the amount of revenue generated for each dollar spent.

(2) Tangible shareholders’ equity to tangible assets is considered a non-GAAP financial measure. Tangible shareholders’ equity is defined as total shareholders’ equity less goodwill and other intangible assets. The most directly comparable GAAP financial measure is total shareholder’s equity to total assets. The Company had no goodwill or other intangible assets at the end of any period indicated. The Company has not considered loan servicing rights or loan trailing fee assets as intangible assets for purposes of this calculation. As a result, tangible shareholders’ equity is the same as total shareholders’ equity at the end of each of the periods indicated.

Net Interest Income

Net interest income was $15.5 million for the fourth quarter of 2024, compared to $14.8 million for the prior quarter and $14.4 million for the prior year period. The increase from the prior quarter was primarily due to an average balance increase in the loans held for investment (“HFI”) portfolio and a decrease in yields paid on interest-earning deposits, principally certificate of deposits. Further contributing to the increase from the prior quarter was a third quarter 2024 decrease in net interest income of $0.5 million for accrued interest not previously reversed at the time loans were deemed nonperforming. The increase from the prior year period was primarily due to increases in the average balances of loans held-for-sale and loans HFI portfolios and was partially offset by yield decreases on those same portfolios as well as decreased volumes and rates paid on the Company’s interest bearing deposits.

Loan originations totaled $1.3 billion for the fourth quarter, compared to $1.4 billion for the prior quarter of 2024 and $1.2 billion for the prior year period.

Net interest margin for the fourth quarter of 2024 was 10.00%, compared to 9.70% for the prior quarter and 10.61% for the prior year period. The increase in net interest margin from the prior quarter is primarily attributable to the current quarter decrease in the cost of certificates of deposits and the growth in the overall loan portfolio. The decrease from the prior year period is primarily attributable to the Company’s strategy to reduce the average credit risk in the loan portfolio by increasing its investment in higher quality but lower yielding loans.

Provision for Credit Losses

The Company’s provision for credit losses was $3.9 million for the fourth quarter of 2024, compared to $2.2 million for the prior quarter and $3.2 million for the prior year period. The provision for credit losses increased when compared to the prior quarter and prior year period due primarily to a net charge-off on the non-guaranteed portion of SBA loans in the fourth quarter of 2024 of $1.0 million.

Non-interest Income


	Three Months Ended
($ in thousands)	12/31/2024		9/30/2024		12/31/2023
Non-interest income
Strategic Program fees	$	4,899	$	4,862	$	4,229
Gain on sale of loans	872		393		440
SBA loan servicing fees, net	181		87		572
Change in fair value on investment in BFG	(200)		(100)		200
Credit enhancement income	25		47		—
Other miscellaneous income	(174)		765		716
Total non-interest income	$	5,603	$	6,054	$	6,157

The decrease in non-interest income from the prior quarter and prior year period was primarily due to a decrease in other miscellaneous income resulting from the $0.9 million charge-off of unamortized premium on approximately $160.0 million of callable CDs which were called during the fourth quarter of 2024 and replaced with lower cost CDs. This decrease was partially offset by the $0.5 million gain on sale of the guaranteed portion of SBA loans that occurred during the fourth quarter of 2024.

Non-interest Expense


	Three Months Ended
($ in thousands)	12/31/2024		9/30/2024		12/31/2023
Non-interest expense
Salaries and employee benefits	$	9,375	$	9,659	$	7,396
Professional services	556		1,331		1,433
Occupancy and equipment expenses	1,094		1,046		923
Credit enhancement expense	5		3		—
Other operating expenses	2,534		2,010		1,751
Total non-interest expense	$	13,564	$	14,049	$	11,503

The decrease in non-interest expense from the prior quarter was primarily due to a decrease in salaries and employee benefits resulting from bonus accrual reductions and a decrease in professional services expense resulting from a reduction in accruals for legal services. The increase in non-interest expense from the prior year period was primarily due to an increase in salaries and employee benefits due mainly to increasing headcount and other operating expenses driven by increased spending to support the growth in the Company’s business infrastructure.

Reflecting the expenses incurred to develop the Company’s business infrastructure, the Company’s efficiency ratio was 64.2% for the fourth quarter of 2024, compared to 67.5% for the prior quarter and 56.0% for the prior year period. As a result of the infrastructure build, the Company anticipates the efficiency ratio will remain elevated until the Company begins to realize the revenues associated with the new programs developed.

Tax Rate

The Company’s effective tax rate was 24.3% for the fourth quarter of 2024, compared to 25.1% for the prior quarter and 28.5% for the prior year period. The decrease from the prior quarter was due primarily to more favorable resolution of historical state tax matters during the fourth quarter of 2024. The decrease from the prior year period was primarily due to a reduction in permanent differences impacting income tax expense.

Net Income

Net income was $2.8 million for the fourth quarter of 2024, compared to $3.5 million for the prior quarter and $4.2 million for the prior year period. The changes in net income for the three months ended December 31, 2024 compared to the prior quarter and prior year period are the result of the factors discussed above.

Balance Sheet

The Company’s total assets were $746.0 million as of December 31, 2024, an increase from $683.0 million as of September 30, 2024 and $586.2 million as of December 31, 2023. The increase in total assets from September 30, 2024 was primarily due to continued growth in the Company’s loans HFI, net, and loans held-for-sale portfolios of $29.7 million and $7.6 million, respectively, as well as an increase of $21.5 million in interest-bearing cash deposits. The increase in total assets compared to December 31, 2023 was primarily due to increases in the Company’s loans HFI, net, and loans held-for-sale portfolios of $89.3 million and $44.1 million, respectively, as well as an increase in investment securities available-for-sale of $29.9 million, partially offset by a decrease of $17.0 million in interest-bearing deposits.

The following table shows the gross loans HFI balances as of the dates indicated:


	12/31/2024				9/30/2024				12/31/2023
($ in thousands)	Amount		% of total loans		Amount		% of total loans		Amount		% of total loans
SBA	$	255,056	54.8	%	$	251,439	57.9	%	$	239,922	64.5	%
Commercial leases	70,153		15.1	%	64,277		14.8	%	38,110		10.2	%
Commercial, non-real estate	3,691		0.8	%	3,025		0.7	%	2,457		0.7	%
Residential real estate	51,574		11.1	%	41,391		9.5	%	38,123		10.2	%
Strategic Program loans	20,122		4.3	%	19,409		4.5	%	19,408		5.2	%
Commercial real estate:
Owner occupied	41,046		8.8	%	32,480		7.5	%	20,798		5.6	%
Non-owner occupied	1,379		0.3	%	2,736		0.7	%	2,025		0.5	%
Consumer	22,212		4.8	%	19,206		4.4	%	11,372		3.1	%
Total period end loans	$	465,233	100.0	%	$	433,963	100.0	%	$	372,215	100.0	%

Note: SBA loans as of December 31, 2024, September 30, 2024 and December 31, 2023 include $158.7 million, $156.3 million and $131.7 million, respectively, of SBA 7(a) loan balances that are guaranteed by the SBA. The HFI balance on Strategic Program loans with annual interest rates below 36% as of December 31, 2024, September 30, 2024 and December 31, 2023 was $3.1 million, $3.2 million and $3.6 million, respectively.

Total gross loans HFI as of December 31, 2024 increased compared to September 30, 2024 and December 31, 2023. The Company experienced growth across all loan portfolios, with the exception of non-owner occupied CRE, consistent with its strategy to increase its loan portfolio with higher quality, lower rate loans.

The following table shows the Company’s deposit composition as of the dates indicated:


	As of
	12/31/2024				9/30/2024				12/31/2023
($ in thousands)	Amount		Percent		Amount		Percent		Amount		Percent
Noninterest-bearing demand deposits	$	126,782	23.3	%	$	142,785	29.2	%	$	95,486	23.6	%
Interest-bearing deposits:
Demand	71,403		13.1	%	58,984		12.1	%	50,058		12.4	%
Savings	9,287		1.7	%	9,592		1.9	%	8,633		2.1	%
Money market	16,709		3.0	%	15,027		3.1	%	11,661		2.9	%
Time certificates of deposit	320,771		58.9	%	262,271		53.7	%	238,995		59.0	%
Total period end deposits	$	544,952	100.0	%	$	488,659	100.0	%	$	404,833	100.0	%

The increase in total deposits from September 30, 2024 and December 31, 2023 was driven primarily by increases in brokered time certificates of deposits, which were added to fund loan growth and increase balance sheet liquidity. The increase in total deposits from December 31, 2023 was also driven primarily by an increase in noninterest-bearing demand deposits and interest-bearing demand deposits, primarily due to growth from new and existing customer relationships.

Total shareholders’ equity as of December 31, 2024 increased $3.4 million to $173.7 million from $170.4 million at September 30, 2024. Compared to December 31, 2023, total shareholders’ equity increased by $18.7 million from $155.1 million. The increase from September 30, 2024 was primarily due to the Company’s net income. The increase from December 31, 2023 was primarily due to the Company’s net income as well as the additional capital issued in exchange for the Company’s increased ownership in BFG, partially offset by the repurchase of common stock under the Company’s share repurchase program.

Bank Regulatory Capital Ratios

The following table presents the leverage ratios for the Bank as of the dates indicated as determined under the Community Bank Leverage Ratio Framework of the Federal Deposit Insurance Corporation:

As of

Capital Ratios

12/31/2024

9/30/2024

12/31/2023

Well-Capitalized Requirement

Leverage ratio

20.6%

20.3%

20.7%

9.0%

The leverage ratio increase from the prior quarter resulted primarily from earnings generated by operations growing at a faster pace than average assets. The slight decrease in the leverage ratio from the prior year period resulted primarily from the growth in the loan portfolio. The Bank’s capital levels remain significantly above well-capitalized guidelines as of December 31, 2024.

Share Repurchase Program

Since the share repurchase program’s inception in March 2024 through December 31, 2024, the Company has repurchased a total of 44,608 shares for $0.5 million. There were no shares repurchased during the fourth quarter of 2024.

Asset Quality

The recorded balances of nonperforming loans were $36.4 million, or 7.8% of total loans HFI, as of December 31, 2024, compared to $30.6 million, or 7.1% of total loans HFI, as of September 30, 2024 and $27.1 million, or 7.3% of total loans HFI, as of December 31, 2023. The balances of nonperforming loans guaranteed by the SBA were $19.2 million, $17.8 million, and $15.0 million as of December 31, 2024, September 30, 2024 and December 31, 2023, respectively. The increase in nonperforming loans from the prior periods was primarily attributable to

lingering financial stress on borrowers from the longer than expected higher interest rate environment. The Company’s allowance for credit losses to total loans HFI was 2.8% as of December 31, 2024 compared to 2.9% as of September 30, 2024 and 3.5% as of December 31, 2023. The decrease in the ratio from the prior quarter and prior year period was primarily due to the increased balance of the guaranteed portion of the SBA 7(a) program loans, growth in the balances of lower risk CRE, leasing and other HFI loan portfolios, and the shift in our Strategic Program HFI loan balances to programs with lower historical losses.

The Company’s net charge-offs were $3.2 million, $2.4 million and $3.4 million for the three months ended December 31, 2024, September 30, 2024, and December 31, 2023, respectively. The increase from the prior quarter is primarily due to charge-offs relating to SBA loans that moved to nonaccrual status in the fourth quarter as well as increased net charge-offs in the Strategic Program loans portfolio. The decrease from the prior year period is primarily due to increased recoveries during the fourth quarter of 2024.

The following table presents a summary of changes in the allowance for credit losses and asset quality ratios for the periods indicated:


	Three Months Ended
($ in thousands)	12/31/2024			9/30/2024			12/31/2023
Allowance for credit losses:
Beginning balance	$	12,661		$	13,127		$	12,986


Provision for credit losses(1)	3,766			1,944			3,272
Charge offs

Residential real estate	(206)			(27)			(104)

Commercial real estate
Owner occupied	(411)			(103)			(561)
Non-owner occupied	—			(221)			—
Commercial and industrial	(555)			(96)			(281)
Consumer	(60)			(15)			(22)
Lease financing receivables				(113)			—
Strategic Program loans	(2,528)			(2,360)			(2,656)
Recoveries
Construction and land development	—			—			—
Residential real estate	6			3			3
Residential real estate multifamily	—			—			—
Commercial real estate
Owner occupied	112			219			(11)
Non-owner occupied	—			—			—
Commercial and industrial	—			2			1
Consumer	1			4			—
Lease financing receivables	77			8			—
Strategic Program loans	313			289			261
Ending Balance	$	13,176		$	12,661		$	12,888

Credit Quality Data	As of and For the Three Months Ended
($ in thousands)	12/31/2024			9/30/2024			12/31/2023
Nonperforming loans:
Guaranteed	$	19,204		$	17,804		$	14,966
Unguaranteed	17,227			12,844			12,161
Total nonperforming loans	$	36,431		$	30,648		$	27,127
Allowance for credit losses	$	13,176		$	12,661		$	12,888
Net charge offs	$	3,249		$	2,409		$	3,370
Total loans held for investment	$	465,233		$	433,963		$	372,215
Total loans held for investment less guaranteed balances	$	306,482		$	277,635		$	240,471
Average loans held for investment	$	454,474		$	422,820		$	350,852
Nonperforming loans to total loans held for investment	7.8		%	7.1		%	7.3		%
Net charge offs to average loans held for investment (annualized)	2.8		%	2.3		%	3.8		%
Allowance for credit losses to loans held for investment	2.8		%	2.9		%	3.5		%
Allowance for credit losses to loans held for investment less guaranteed balances	4.3		%	4.6		%	5.4		%

(1) Excludes the provision for unfunded commitments.

Webcast and Conference Call Information

FinWise will host a conference call today at 5:30 PM ET to discuss its financial results for the fourth quarter and year ended December 31, 2024. A simultaneous audio webcast of the conference call will be available at https://investors.finwisebancorp.com/.

The dial-in number for the conference call is (877) 423-9813 (toll-free) or (201) 689-8573 (international). The conference ID is 13750402. Please dial the number 10 minutes prior to the scheduled start time.

A webcast replay of the call will be available at investors.finwisebancorp.com for six months following the call.

Website Information

The Company intends to use its website, www.finwisebancorp.com, as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD. Such disclosures will be included in the Company’s website’s Investor Relations section. Accordingly, investors should monitor the Investor Relations portion of the Company’s website, in addition to following its press releases, filings with the Securities and Exchange Commission (“SEC”), public conference calls, and webcasts. To subscribe to the Company’s e-mail alert service, please click the “Email Alerts” link in the Investor Relations section of its website and submit your email address. The information contained in, or that may be accessed through, the Company’s website is not incorporated by reference into or a part of this document or any other report or document it files with or furnishes to the SEC, and any references to the Company’s website are intended to be inactive textual references only.

About FinWise Bancorp

FinWise Bancorp is a Utah bank holding company headquartered in Murray, Utah which wholly owns FinWise Bank, a Utah chartered state bank, and FinWise Investment LLC (together “FinWise”). FinWise provides Banking and Payments solutions to fintech brands. The Company is expanding and diversifying its business model by incorporating Payments (MoneyRailsTM) and BIN Sponsorship offerings. Its Strategic Program Lending business, conducted through scalable API-driven infrastructure, powers deposit, lending and payments programs for leading fintech brands. In addition, FinWise manages other Lending programs such as SBA 7(a), Owner Occupied Commercial Real Estate, and Leasing, which provide flexibility for disciplined balance sheet growth. Through its compliance oversight and risk management-first culture, the Company is well positioned to guide fintechs through a rigorous process to facilitate regulatory compliance. For more information about FinWise visit https://investors.finwisebancorp.com.

Contacts

investors@finwisebank.com
media@finwisebank.com

"Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995

This release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect the Company’s current views with respect to, among other things, future events and its financial performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “might,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “project,” “projection,” “forecast,” “budget,” “goal,” “target,” “would,” “aim” and “outlook,” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about the Company’s industry and management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond the Company’s control. The inclusion of these forward-looking statements should not be regarded as a representation by the Company or any other person that such expectations, estimates and projections will be achieved. Accordingly, the Company cautions you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements.

There are or will be important factors that could cause the Company’s actual results to differ materially from those indicated in these forward-looking statements, including, but not limited to, the following: (a) the success of the financial technology industry, as well as the continued evolution of the regulation of this industry; (b) the ability of the Company’s Strategic Program or Fintech Banking and Payments Solutions service providers to comply with regulatory regimes, and the Company’s ability to adequately oversee and monitor its Strategic Program and Fintech Banking and Payments Solutions service providers; (c) the Company’s ability to maintain and grow its relationships with its service providers; (d) changes in the laws, rules, regulations, interpretations or policies relating to financial institutions, accounting, tax, trade, monetary and fiscal matters, including the application of interest rate caps or maximums; (e) the Company’s ability to keep pace with rapid technological changes in the industry or implement new technology effectively; (f) system failure or cybersecurity breaches of the Company’s network security; (g) potential exposure to fraud, negligence, computer theft and cyber-crime and other disruptions in the Company’s computer systems relating to its development and use of new technology platforms; (h) the Company’s reliance on third-party service providers for core systems support, informational website hosting, internet services, online account opening and other processing services; (i) general economic and business conditions, either nationally or in the Company’s market areas; (j) increased national or regional competition in the financial services industry; (k) the Company’s ability to measure and manage its credit risk effectively and the potential deterioration of the business and economic conditions in the Company’s primary market areas; (l) the adequacy of the Company’s risk management framework; (m) the adequacy of the Company’s allowance for credit losses (“ACL”); (n) the financial soundness of other financial institutions; (o) new lines of business or new products and services; (p) changes in Small Business Administration (“SBA”) rules, regulations and loan products, including specifically the Section 7(a) program or changes to the status of the Bank as an SBA Preferred Lender; (q) the value of collateral securing the Company’s loans; (r) the Company’s levels of nonperforming assets; (s) losses from loan defaults; (t) the Company’s ability to protect its intellectual property and the risks it faces with respect to claims and litigation initiated against the Company; (u) the Company’s ability to implement its growth strategy; (v) the Company’s ability to launch new products or services successfully; (w) the concentration of the Company’s lending and depositor relationships through Strategic Programs in the financial technology industry generally; (x) interest-rate and liquidity risks; (y) the effectiveness of the Company’s internal control over financial reporting and its ability to remediate any future material weakness in its internal control over financial reporting; (z) dependence on the Company’s management team and changes in management composition; (aa) the sufficiency of the Company’s capital; (bb) compliance with laws and

regulations, supervisory actions, the Dodd-Frank Act, capital requirements, the Bank Secrecy Act and other anti-money laundering laws, predatory lending laws, and other statutes and regulations; (cc) results of examinations of the Company by its regulators; (dd) the Company’s involvement from time to time in legal proceedings; (ee) natural disasters and adverse weather, acts of terrorism, pandemics, an outbreak of hostilities or other international or domestic calamities, and other matters beyond the Company’s control; (ff) future equity and debt issuances; (gg) that the anticipated benefits of new lines of business that the Company may enter or investments or acquisitions the Company may make are not realized within the expected time frame or at all as a result of such things as the strength or weakness of the economy and competitive factors in the areas where the Company and such other businesses operate; and (hh) other factors listed from time to time in the Company’s filings with the Securities and Exchange Commission, including, without limitation, its Annual Report on Form 10-K for the year ended December 31, 2023 and subsequent reports on Form 10-Q and Form 8-K.

The timing and amount of purchases under the Company’s share repurchase program will be determined by the Share Repurchase Committee based upon market conditions and other factors. Purchases may be made pursuant to a program adopted under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended. The program does not require the Company to purchase any specific number or amount of shares and may be suspended or reinstated at any time in the Company’s discretion and without notice.

Any forward-looking statement speaks only as of the date of this release, and the Company does not undertake any obligation to publicly update or review any forward-looking statement, whether because of new information, future developments or otherwise, except as required by law. New risks and uncertainties may emerge from time to time, and it is not possible for the Company to predict their occurrence. In addition, the Company cannot assess the impact of each risk and uncertainty on its business or the extent to which any risk or uncertainty, or combination of risks and uncertainties, may cause actual results to differ materially from those contained in any forward-looking statements.

FINWISE BANCORP

CONSOLIDATED BALANCE SHEETS

($ in thousands; Unaudited)


	12/31/2024		9/30/2024		12/31/2023
ASSETS
Cash and cash equivalents
Cash and due from banks	$	9,600	$	7,705	$	411
Interest-bearing deposits	99,562		78,063		116,564
Total cash and cash equivalents	109,162		85,768		116,975
Investment securities available-for-sale, at fair value	29,930		30,472		—
Investment securities held-to-maturity, at cost	12,565		13,270		15,388
Investment in Federal Home Loan Bank (“FHLB”) stock, at cost	349		349		238
Strategic Program loans held-for-sale, at lower of cost or fair value	91,588		84,000		47,514
Loans held for investment, net	447,812		418,065		358,560
Credit enhancement asset	111		86		—
Premises and equipment, net	16,328		17,099		14,630
Accrued interest receivable	3,566		3,098		3,573

SBA servicing asset, net	3,273		3,261		4,231
Investment in Business Funding Group (“BFG”), at fair value	7,700		7,900		4,200
Operating lease right-of-use (“ROU”) assets	3,564		3,735		4,293
Income tax receivable, net	8,868		3,317		2,400
Other assets	11,160		12,611		14,219
Total assets	$	745,976	$	683,031	$	586,221

LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Deposits
Noninterest-bearing	$	126,782	$	142,785	$	95,486
Interest-bearing	418,170		345,874		309,347
Total deposits	544,952		488,659		404,833
Accrued interest payable	1,494		647		619
Income taxes payable, net	4,423		—		1,873
Deferred taxes, net	899		1,036		748
PPP Liquidity Facility	64		106		190
Operating lease liabilities	5,302		5,542		6,296
Other liabilities	15,122		16,671		16,606
Total liabilities	572,256		512,661		431,165

Shareholders’ equity
Common stock	13		13		12
Additional paid-in-capital	56,926		56,214		51,200
Retained earnings	116,594		113,801		103,844
Accumulated other comprehensive income, net of tax	187		342		—
Total shareholders’ equity	173,720		170,370		155,056
Total liabilities and shareholders’ equity	$	745,976	$	683,031	$	586,221

FINWISE BANCORP

CONSOLIDATED STATEMENTS OF INCOME

($ in thousands, except per share amounts; Unaudited)


	Three Months Ended
	12/31/2024		9/30/2024		12/31/2023
Interest income
Interest and fees on loans	$	18,388	$	17,590	$	16,192
Interest on securities	401		298		101
Other interest income	573		1,036		1,759
Total interest income	19,362		18,924		18,052

Interest expense
Interest on deposits	3,833		4,161		3,685

Total interest expense	3,833		4,161		3,685
Net interest income	15,529		14,763		14,367

Provision for credit losses	3,878		2,157		3,210
Net interest income after provision for credit losses	11,651		12,606		11,157

Non-interest income
Strategic Program fees	4,899		4,862		4,229
Gain on sale of loans, net	872		393		440
SBA loan servicing fees, net	181		87		572
Change in fair value on investment in BFG	(200)		(100)		200
Credit enhancement income	25		47		—
Other miscellaneous (loss) income	(174)		765		716
Total non-interest income	5,603		6,054		6,157

Non-interest expense
Salaries and employee benefits	9,375		9,659		7,396
Professional services	556		1,331		1,433
Occupancy and equipment expenses	1,094		1,046		923
Credit enhancement expense	5		3		—
Other operating expenses	2,534		2,010		1,751
Total non-interest expense	13,564		14,049		11,503
Income before income taxes	3,690		4,611		5,811

Provision for income taxes	897		1,157		1,655
Net income	$	2,793	$	3,454	$	4,156

Earnings per share, basic	$	0.21	$	0.26	$	0.33
Earnings per share, diluted	$	0.20	$	0.25	$	0.32

Weighted average shares outstanding, basic	12,659,986		12,658,557		12,261,101
Weighted average shares outstanding, diluted	13,392,411		13,257,835		12,752,051
Shares outstanding at end of period	13,211,640		13,211,160		12,493,565

FINWISE BANCORP

CONSOLIDATED STATEMENTS OF INCOME

($ in thousands, except per share amounts)


	Years Ended
	12/31/2024		12/31/2023
	(Unaudited)
Interest income
Interest and fees on loans	$	68,892	$	58,445
Interest on securities	897		338
Other interest income	4,563		5,751
Total interest income	74,352		64,534

Interest expense
Interest on deposits	15,440		9,974
Other interest expense	—		1
Total interest expense	15,440		9,975
Net interest income	58,912		54,559

Provision for credit losses	11,573		11,638
Net interest income after provision for credit losses	47,339		42,921

Non-interest income
Strategic Program fees	17,762		15,914
Gain on sale of loans, net	2,036		1,684
SBA loan servicing fees, net	1,137		1,842
Change in fair value on investment in BFG	(624)		(600)
Credit enhancement income	111		—
Other miscellaneous income	2,063		2,616
Total non-interest income	22,485		21,456

Non-interest expense
Salaries and employee benefits	35,205		25,751
Professional services	4,736		4,961
Occupancy and equipment expenses	4,240		3,312
Credit enhancement expense	8		—
Other operating expenses	8,646		6,540
Total non-interest expense	52,835		40,564
Income before income taxes	16,989		23,813

Provision for income taxes	4,247		6,353
Net income	$	12,742	$	17,460

Earnings per share, basic	$	0.98	$	1.38
Earnings per share, diluted	$	0.93	$	1.33

Weighted average shares outstanding, basic	12,612,455		12,488,564
Weighted average shares outstanding, diluted	13,228,869		12,909,648
Shares outstanding at end of period	13,211,640		12,493,565

FINWISE BANCORP

AVERAGE BALANCES, YIELDS, AND RATES

($ in thousands; Unaudited)


	Three Months Ended
	12/31/2024						9/30/2024						12/31/2023
	Average Balance		Interest		Average Yield/Rate		Average Balance		Interest		Average Yield/Rate		Average Balance		Interest		Average Yield/Rate
Interest earning assets:
Interest-bearing deposits	$	52,375	$	573	4.35	%	$	78,967	$	1,036	5.22	%	$	125,462	$	1,759	5.56	%
Investment securities	43,212		401		3.69	%	33,615		298		3.53	%	15,670		101		2.56	%
Strategic Program loans held-for-sale	67,676		5,040		29.63	%	70,123		4,913		27.87	%	45,370		4,307		37.66	%
Loans held for investment	454,474		13,348		11.68	%	422,820		12,677		11.93	%	350,852		11,885		13.44	%
Total interest earning assets	617,737		19,362		12.47	%	605,525		18,924		12.43	%	537,354		18,052		13.33	%
Noninterest-earning assets	55,767						56,290						32,202
Total assets	$	673,504					$	661,815					$	569,556
Interest-bearing liabilities:
Demand	$	57,305	$	617	4.28	%	$	55,562	$	547	3.92	%	$	47,784	$	562	4.67	%
Savings	9,192		9		0.40	%	9,538		18		0.76	%	8,096		13		0.65	%
Money market accounts	15,726		147		3.73	%	13,590		127		3.72	%	13,419		53		1.55	%
Certificates of deposit	272,799		3,060		4.46	%	262,537		3,469		5.26	%	234,088		3,057		5.18	%
Total deposits	355,022		3,833		4.30	%	341,227		4,161		4.85	%	303,387		3,685		4.82	%
Other borrowings	79		—		0.35	%	112		—		0.35	%	206		—		0.35	%
Total interest-bearing liabilities	355,101		3,833		4.29	%	341,339		4,161		4.85	%	303,593		3,685		4.82	%
Noninterest-bearing deposits	119,945						127,561						92,767
Noninterest-bearing liabilities	27,636						25,536						21,099
Shareholders’ equity	170,823						167,379						152,097
Total liabilities and shareholders’ equity	$	673,505					$	661,815					$	569,556
Net interest income and interest rate spread			$	15,529	8.18	%			$	14,763	7.58	%			$	14,367	8.51	%
Net interest margin					10.00	%					9.70	%					10.61	%
Ratio of average interest-earning assets to average interest- bearing liabilities					173.96	%					177.40	%					177.00	%

FINWISE BANCORP

AVERAGE BALANCES, YIELDS, AND RATES

($ in thousands; Unaudited)


	Years Ended
	12/31/2024						12/31/2023
	Average Balance		Interest		Average Yield/Rate		Average Balance		Interest		Average Yield/Rate
Interest earning assets:
Interest-bearing deposits	$	87,086	$	4,563	5.24	%	$	110,866	$	5,751	5.19	%
Investment securities	26,691		897		3.36	%	14,731		338		2.30	%
Loans held for sale	58,896		17,698		30.05	%	39,090		15,051		38.50	%
Loans held for investment	417,207		51,194		12.27	%	303,784		43,394		14.28	%
Total interest earning assets	589,880		74,352		12.60	%	468,472		64,534		13.78	%
Noninterest-earning assets	47,598						25,269
Total assets	$	637,478					$	493,740
Interest-bearing liabilities:
Demand	$	59,317	$	2,108	3.55	%	$	45,454	$	1,856	4.08	%
Savings	9,574		66		0.69	%	8,207		51		0.62	%
Money market accounts	12,284		452		3.68	%	13,665		362		2.65	%
Certificates of deposit	256,575		12,814		4.99	%	168,887		7,705		4.56	%
Total deposits	337,750		15,440		4.57	%	236,213		9,974		4.22	%
Other borrowings	126		—		0.34	%	251		1		0.35	%
Total interest-bearing liabilities	337,876		15,440		4.57	%	236,464		9,975		4.22	%
Noninterest-bearing deposits	107,760						93,126
Noninterest-bearing liabilities	26,634						17,250
Shareholders’ equity	165,208						146,901
Total liabilities and shareholders’ equity	$	637,478					$	493,740
Net interest income and interest rate spread			$	58,912	8.03	%			$	54,559	9.56	%
Net interest margin					9.99	%					11.65	%
Ratio of average interest-earning assets to average interest- bearing liabilities					174.58	%					198.12	%

Reconciliation of Non-GAAP to GAAP Financial Measures

(Unaudited)


Efficiency ratio	Three Months Ended									Years Ended
	12/31/2024			9/30/2024			12/31/2023			12/31/2024			12/31/2023
($ in thousands)
Non-interest expense	$	13,564		$	14,049		$	11,503		$	52,835		$	40,564

Net interest income	15,529			14,763			14,367			58,912			54,559
Total non-interest income	5,603			6,054			6,157			22,485			21,456
Adjusted operating revenue	$	21,132		$	20,817		$	20,524		$	81,397		$	76,015
Efficiency ratio	64.2		%	67.5		%	56.0		%	64.9		%	53.4		%

FinWise has entered into agreements with certain of its Strategic Program service providers pursuant to which they provide credit enhancement on loans which protects the Bank by indemnifying or reimbursing the Bank for incurred credit and fraud losses. We estimate and record a provision for expected losses for these Strategic Program loans in accordance with GAAP, which requires estimation of the provision without consideration of the credit enhancement . When the provision for expected losses over the life of the loans that are subject to such credit enhancement is recorded, a credit enhancement asset reflecting the potential future recovery of those losses is also recorded on the balance sheet in the form of non-interest income (credit enhancement income). Reimbursement or indemnification for incurred losses is provided for in the form of a deposit reserve account that is replenished periodically by the respective Strategic Program service provider. Any remaining income on such loans in excess of the amounts retained by FinWise and placed in the deposit reserve account are paid to the Strategic Program service provider. Income on such loans in excess of amounts retained by FinWise are expensed for services provided by the Strategic Program service provider including its legal commitment to indemnify or reimburse all credit or fraud losses pursuant to credit enhancement agreements. The credit enhancement asset is reduced as credit enhancement payments and recoveries are received from the Strategic Program service provider or taken from its cash reserve account. If the Strategic Program service provider is unable to fulfill its contracted obligations under its credit enhancement agreement, then the Bank could be exposed to the loss of the reimbursement and credit enhancement income as a result of this counterparty risk. See the following reconciliations of non-GAAP measures for the impact of the credit enhancement on our financial condition and results. Note that these amounts are supplemental and are not a substitute for an analysis based on GAAP measures. Similar amounts for periods prior to the quarter ended December 31, 2024 were immaterial and therefore not separately disclosed.

The following non-GAAP measures are presented to illustrate the impact of certain credit enhancement expenses on total interest income on loans HFI and average yield on loans HFI:


	As of and for the Three Months Ended						As of and for the Year Ended
($ in thousands; unaudited)	12/31/2024						12/31/2024
	Total Average Loans HFI		Total Interest Income on Loans HFI		Average Yield on Loans HFI		Total Average Loans HFI		Total Interest Income on Loans HFI		Average Yield on Loans HFI
Before adjustment for credit enhancement	$	454,474	$	13,348	11.68	%	$	417,207	$	51,194	12.27	%
Less: credit enhancement expense			(5)						(8)
Net of adjustment for credit enhancement expenses	$	454,474	$	13,343	11.68	%	$	417,207	$	51,186	12.27	%

Total interest income on loans HFI net of credit enhancement expense and the average yield on loans HFI are non-GAAP measures that include the impact of credit enhancement expense on total interest income on loans HFI and the respective average yield on loans HFI, the most directly comparable GAAP measures.

The following non-GAAP measures are presented to illustrate the impact of certain credit enhancement expenses on net interest income and net interest margin:


	As of and for the Three Months Ended						As of and for the Year Ended
	12/31/2024						12/31/2024
($ in thousands; unaudited)	Total Average Interest-Earning Assets		Net Interest Income		Net Interest Margin		Total Average Interest-Earning Assets		Net Interest Income		Net Interest Margin
Before adjustment for credit enhancement	$	617,737	$	15,529	10.00	%	$	589,880	$	58,912	9.99	%
Less: credit enhancement expense			(5)						(8)
Net of adjustment for credit enhancement expenses	$	617,737	$	15,524	10.00	%	$	589,880	$	58,904	9.99	%

Net interest income and net interest margin net of credit enhancement expense are non-GAAP measures that include the impact of credit enhancement expenses on net interest income and net interest margin, the most directly comparable GAAP measures.

Non-interest expenses less credit enhancement expenses is a non-GAAP measure presented to illustrate the impact of credit enhancement expense on non-interest expense:



($ in thousands; unaudited)	Three Months Ended December 31, 2024		Year Ended December 31, 2024
Total non-interest expense	$	13,564	$	52,835
Less: credit enhancement expense	(5)		(8)
Total non-interest expense less credit enhancement expenses	$	13,559	$	52,827

Total non-interest expense less credit enhancement expense is a non-GAAP measure that illustrates the impact of credit enhancement expenses on non-interest expense, the most directly comparable GAAP measure.

Total non-interest income less credit enhancement income is a non-GAAP measure to illustrate the impact of credit enhancement income resulting from credit enhanced loans on non-interest income:



($ in thousands; unaudited)	Three Months Ended December 31, 2024		Year Ended December 31, 2024
Total non-interest income	$	5,603	$	22,485
Less: credit enhancement income	(25)		(111)
Total non-interest income less credit enhancement income	$	5,578	$	22,374

Total non-interest income less indemnification income is a non-GAAP measure that illustrates the impact of credit enhancement income on non-interest income. The most directly comparable GAAP measure is non-interest income.

The following non-GAAP measure is presented to illustrate the effect of the credit enhancement program that creates the credit enhancement on the allowance for credit losses:



($ in thousands; unaudited)	As of December 31, 2024
Allowance for credit losses	$	(13,176)
Less: allowance for credit losses related to credit enhanced loans	(111)
Allowance for credit losses excluding the effect of the allowance for credit losses related to credit enhanced loans	$	(13,065)

The allowance for credit losses excluding the effect of the allowance for credit losses related to credit enhanced loans is a non-GAAP measure that reflects the effect of the credit enhancement program on the allowance for credit losses. The total outstanding balance of loans held for investment with credit enhancement as of December 31, 2024 was approximately $0.9 million.

January 2025

2 Disclaimers "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995 This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect the current views of FinWise Bancorp (“FinWise,” “we,” “us,” or the “Company”) with respect to, among other things, future events and its financial performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “might,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “project,” “projection,” “forecast,” “budget,” “goal,” “target,” “would,” “aim” and “outlook,” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are based on current expectations, estimates and projections about the Company’s industry and management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond the Company’s control. The inclusion of these forward-looking statements should not be regarded as a representation by the Company or any other person that such expectations, estimates or projections will be achieved. Accordingly, the Company cautions you that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements. There are or will be important factors that could cause the Company’s actual results to differ materially from those indicated in these forward-looking statements, including, but not limited to, the following: (a) the success of the financial technology industry, as well as the continued evolution of the regulation of this industry; (b) the ability of the Company’s Strategic Program or Fintech Banking Solutions service providers to comply with regulatory regimes, and the Company’s ability to adequately oversee and monitor its Strategic Program and Fintech Banking Solutions service providers; (c) the Company’s ability to maintain and grow its relationships with its service providers; (d) changes in the laws, rules, regulations, interpretations or policies relating to financial institutions, accounting, tax, trade, monetary and fiscal matters, including the application of interest rate caps or maximums; (e) the Company’s ability to keep pace with rapid technological changes in the industry or implement new technology effectively; (f) system failure or cybersecurity breaches of the Company’s network security; (g) potential exposure to fraud, negligence, computer theft and cyber-crime and other disruptions in the Company’s computer systems relating to its development and use of new technology platforms; (h) the Company’s reliance on third-party service providers for core systems support, informational website hosting, internet services, online account opening and other processing services; (i) general economic and business conditions, either nationally or in the Company’s market areas; (j) increased national or regional competition in the financial services industry; (k) the Company’s ability to measure and manage its credit risk effectively and the potential deterioration of the business and economic conditions in the Company’s primary market areas; (l) the adequacy of the Company’s risk management framework; (m) the adequacy of the Company’s allowance for credit losses (“ACL”); (n) the financial soundness of other financial institutions; (o) new lines of business or new products and services; (p) changes in Small Business Administration (“SBA”) rules, regulations and loan products, including specifically the Section 7(a) program or changes to the status of the Bank as an SBA Preferred Lender; (q) the value of collateral securing the Company’s loans; (r) the Company’s levels of nonperforming assets; (s) losses from loan defaults; (t) the Company’s ability to protect its intellectual property and the risks it faces with respect to claims and litigation initiated against the Company; (u) the Company’s ability to implement its growth strategy; (v) the Company’s ability to launch new products or services successfully; (w) the concentration of the Company’s lending and depositor relationships through Strategic Programs in the financial technology industry generally; (x) interest-rate and liquidity risks; (y) the effectiveness of the Company’s internal control over financial reporting and its ability to remediate any future material weakness in its internal control over financial reporting; (z) dependence on our management team and changes in management composition; (aa) the sufficiency of the Company’s capital; (bb) compliance with laws and regulations, supervisory actions, the Dodd-Frank Act, capital requirements, the Bank Secrecy Act and other anti-money laundering laws, predatory lending laws, and other statutes and regulations; (cc) results of examinations of the Company by its regulators; (dd) the Company’s involvement from time to time in legal proceedings; (ee) natural disasters and adverse weather, acts of terrorism, pandemics, an outbreak of hostilities or other international or domestic calamities, and other matters beyond the Company’s control; (ff) future equity and debt issuances; (gg) that the anticipated benefits new lines of business that the Company may enter or investments or acquisitions the Company may make are not realized within the expected time frame or at all as a result of such things as the strength or weakness of the economy and competitive factors in the areas where the Company and such other businesses operate; and (hh) other factors listed from time to time in the Company’s filings with the Securities and Exchange Commission, including, without limitation, its Annual Report on Form 10-K for the year ended December 31, 2023 and subsequent reports on Form 10-Q and Form 8-K. Any forward-looking statement speaks only as of the date of this release, and the Company does not undertake any obligation to publicly update or review any forward-looking statement, whether because of new information, future developments or otherwise, except as required by law. New risks and uncertainties may emerge from time to time, and it is not possible for the Company to predict their occurrence. In addition, the Company cannot assess the impact of each risk and uncertainty on its business or the extent to which any risk or uncertainty, or combination of risks and uncertainties, may cause actual results to differ materially from those contained in any forward-looking statements. Market and industry data This presentation includes estimates regarding market and industry data. Certain information is based on management estimates, which have been derived from third-party sources, as well as data from our internal research. While we believe the estimated market and industry data included in this presentation are generally reliable, such information, which is derived in part from management’s estimates and beliefs, is inherently uncertain and imprecise. Non-GAAP financial measures Some of the financial measures included in this presentation are not measures of financial performance recognized by generally accepted accounting principles in the United States (“GAAP”). These non-GAAP financial measures are “tangible shareholders’ equity,” “tangible book value per share,” and “efficiency ratio.” We believe these non-GAAP financial measures provide useful information to management and investors; however, we acknowledge that our non-GAAP financial measures have limitations. As such, you should not view these measures as a substitute for results determined in accordance with GAAP. A reconciliation of such non-GAAP financial measures to the most closely related GAAP financial measures is included in the Appendix to this presentation. Trademarks “FinWise” and its logos and other trademarks referred to and included in this presentation belong to us and are protected by applicable laws. We refer to our trademarks in this presentation without the ® or the ™ or symbols for convenience. Other service marks, trademarks and trade names referred to in this presentation, if any, are the property of their respective owners, although for presentational convenience we may not use the ® or the ™ symbols to identify such trademarks.

FinWise Overview Differentiated Business Model • Banking and payments solutions provider to fintechs • Resilient and profitable model with compelling growth opportunities • Compliance oversight and risk management-first culture • Lower risk loan portfolio with disciplined underwriting and collateral management: • 45.0% of portfolio is SBA Guaranteed and Strategic Program HFS1 (HFS loans are typically cash- collateralized and held for less than one week) • Credit Enhancement2 product incorporates a fintech financed loss reserve account structured to absorb credit losses • Well capitalized significantly above regulatory requirement • Highly experienced team with proven track record 1SBA Guaranteed loans are guaranteed by U.S Small Business Administration and Strategic Program Loans (HFS) are supported by reserve deposit accounts. 2See Glossary slide at end of presentation for definition of Credit Enhancement. 3 • Fintech Banking & Payments Solutions: • Strategic Program Lending (SPL). Scalable API- driven infrastructure powering deposit, lending and payments programs for leading fintechs • SPL - Credit Enhancement2. Provides opportunity to generate prudent asset growth and interest income • Payments (MoneyRailsTM) and BIN Sponsorship. Provides opportunity to diversify business model and add fee income • Traditional Lending. Provides flexibility for disciplined balance sheet growth: • SBA 7(a), including SBA guaranteed loans • Residential and owner occupied CRE • Equipment leasing programs Key Businesses

Equipment Leasing Programs Balance Sheet Strategy: • Originate for Investment • Originations through vendor finance, additional third-party originators, direct channels • Diversify balance sheet Fintech Banking & Payments Solutions (includes Strategic Program Lending) Balance Sheet Strategy: • Mostly originate to sell • Interest Income HFI & HFS • Minimum program & other fees • Programs establish a “reserve” deposit account with FinWise • Credit Enhancement product SBA 7(a) Balance Sheet Strategy: • Hold or sell guaranteed portion • Retain all servicing rights when guaranteed portion is sold • Leverage relationship with Business Funding Group, LLC for acquiring customers Residential & Owner Occupied CRE Balance Sheet Strategy: • Originate for Investment • Source of core deposits • High-touch, relationship banking • Historically stable and strong profitability Current Business Model (ex-Payments & BIN Sponsorship) 4Q24 Gross Revenue Contribution1 1Does not include revenue from POS Lending Program which is an originate to hold strategy. Also does not include revenue from “Other”, “Change in Fair Value on investment in BFG”, and Credit Enhancement. Note: SBA Guaranteed loans are guaranteed by U.S Small Business Administration; Strategic Program Loans (HFS) are supported by reserve deposit accounts. 59.6% 22.4% 10.0% 4 6.9% Differentiated and Proven Strategy Offers Solid Foundation for Future Growth As of 12/31/24: • Strategic Platform Loans on Bal. Sheet: $111.7M (82.0% HFS; 18.0% HFI) • 4Q24 Gain on Sale (net) and Strategic Program Fees: $5.2 million or 92.7% of non- interest income As of 12/31/24: • SBA Loans on Bal. Sheet: $255.1 (62.2% Guaranteed; 37.8% Unguaranteed) Product Overview: • Consumer and commercial lending • Construction lending focus on single-family residential Product Overview: • Equipment secured leases/ loans • Interest bearing (generally 60-month fixed rates) • "Aurora" loan origination system provides scalability and automation Target Customer: • Consumers and small to medium-sized businesses (SMBs) via Fintech Platforms Target Customer: • SMBs Target Customer: • Single family residential and SMBs Target Customer: • SMBs via Equipment point of sale TRADITIONAL LENDING SEGMENTS

5 Interest Income • Monthly fee driven by originated loan volume • On loans held for a few days before sold • On loans held for investment • Incorporated in Strategic Program Lending (SPL) monthly fee • Contractual interest earned on loans maintained on our bal. sheet • Note: payments to Fintechs of excess spread are mostly expensed. Also, fintechs are required to hold a deposit acct. at FinWise against which charge-offs are recovered, trued up monthly post charge-offs • Monthly fees (including Acct. Mgmt. fees) • Transaction Fees (ACH, Wires, Real Time, etc.) • None • Note: lower cost deposits generated help NII • Monthly fees driven by dollar volume spent • On receivables held for a few days before sold • On receivables held for investment • Monthly fees driven by dollar volume spent • None • Note: lower cost deposits generated help NII • Gain on sale of loans (SBA 7a) • Traditional interest income 1MoneyRailsTM enhances fee revenue opportunity in SPL and Cards. Note: SBA Guaranteed loans are guaranteed by U.S Small Business Administration and Strategic Program Loans (HFS) are supported by reserve deposit accounts. Revenue Model Strategic Program Lending (SPL) Payments (MoneyRails™)¹ Credit Cards Traditional Lending (SBA 7(a), Residential & Owner Occupied CRE, Equipment Financing) Strategic Program Lending (SPL): Credit Enhancement Prepaid & Debit Cards Type of Revenue Generated by Product BIN Sponsorships: Net Interest Income (NII)Fee Income

6 Select Fintech Brands We Currently Support Note: Upstart, Elevate and Reach are not on MoneyRailsTM, but FinWise does handle Payment Processing for them. During 4Q24, we signed an agreement with a strategic lending program that we have not yet formally announced as it is still in its piloting stage but anticipate providing more details in upcoming quarters. Growth Opportunity With Existing Fintechs And As New Programs Are Onboarded

Strategic Program Lending (SPL) - Program Diversification Has Improved Note: Strategic Program Lending concentration shown since 1Q22 to highlight longer-term pattern in recent years 7

Our Culture - Strong Compliance and Risk Management 8 Consistent Investment in Personnel & Infrastructure Provides Regulatory Oversight Support to Fintechs Note: FTEs shown as of the end of each respective quarter; does not include FTEs in Governance and Operations. 38% of FTEs in IT, Compliance, Risk Mgmt., BSA functions at the end of 4Q24 Total FTEs at end of 4Q24 = 196

Growth Strategy: A Broader Banking & Payments Offering Business Model Prior to 2025 Business Model Starting in 2025 1SBA 7(a) includes Guaranteed and Unguaranteed loans; Guaranteed loans are guaranteed by U.S Small Business Administration. Note: "Fintech Banking & Payments Solutions" is used to describe our target market within the banking as a service ecosystem. 9 Strategic Program Lending (SPL) SBA 7(a)1 Resi. & Owner Occupied CRE Equipment Financing FinWise Fintech Banking & Payments Solutions BIN Sponsorship Strategic Program Lending (SPL) + Credit Enhancement SBA 7(a)1 Equipment Financing Resi. & Owner Occupied CRE FinWise Incorporating Credit Enhancement, Payments, and BIN Sponsorship in 2025 to Enhance Ability to Scale and Drive Growth Payments (MoneyRails™)

Sizable Addressable Market 1 Source: Matt Harris, Blake Adams, Adam Davis, and Jeff Tijsse, "Embedded Finance: What It Takes to Prosper in the New Value Chain", 2022 (Bain & Company, Inc.) 10 2021 2026 Estimated U.S. Market for Platforms and Enablers1 (Total Revenue Across Payments, Lending, Banking, Cards) Fintechs & Non-Financials Expected to Seek Bank Partners that Provide Access to Financial Products

Potential Long-term Benefits from Fintech Banking and Payments Solutions Offering Revenue Expands and diversifies potential sources of revenue Deposits Helps diversify deposit composition and reduce cost of funds through relationship-banking Credit Quality Increases percentage of Prime loans Profitability Use of outsourced solutions enhances operating leverage versus traditional models Note: "Potential Long-term Benefits" describe the Company's expectations of potential benefits to the overall FinWise business model 11

Differentiators of Fintech Banking and Payments Solutions Offering Payments (MoneyRailsTM) • Ease of Use. Brings multiple payments types under one application. Ability to see all payments through a single source • Payment Control. Allows service providers (fintechs) to embed multiple options to move money in /out of their ecosystem • Cost Effective. Business rules help optimize the payment type for users' parameters. Reduces number of bank connected systems, lowering fees and software costs • Strengthens Security. Single sign-on to manage access and real time fraud controls • Modern Payment Rails. Access to the latest payment types such as faster and real-time payments o Payment rails included: ACH, Same Day ACH (SDA), Wires, Visa Direct and/or Mastercard Send, Mastercard RPPS, The Clearing House RTP and FedNow Bank Identification Number (BIN) Sponsorship • Compliance-first Culture. Significant knowledge of compliance practices required to manage a BIN sponsorship program. Regular interactions with our regulators • Differentiated Tech Approach and Integration. Provides Bank with more control for compliance oversight and more robust solutions as service providers (fintechs) expand their operations • Focus. Limit number of processors, vendors and service providers to streamline efficiencies and oversight • Extensive Experience. Team has nearly 90 years of combined expertise in banking, payments and fintech 12 Target Customers: • Fintechs that serve needs of corporations and small businesses with existing transaction volume and a proven track record of success. • Fintechs that have the capabilities to support businesses/commercial/corporations account and payments needs, including credit, charge card, debit, prepaid program constructs. • Fintechs that are well funded, have an experienced management team, plan to drive significant activity annually and have a compliance-first mentality. • We will also support consumer programs with unique value propositions that solve financial issues.

Payments (MoneyRailsTM) Platform - The Value of a Ledger 13 Secure, Efficient API-driven Solutions for Fintechs and Commercial Customers • The Ledger provides a strong foundation with controls, standing instructions and connectors for third-party integrations • Highly secured platform with ability to stop unauthorized access to the application and the account. Transactions are immutable. • Fintechs can build their own experience using APIs without dependency on FinWise • The platform provides physical and virtual card servicing capabilities. This enables incoming/ outgoing payments and card management to be housed in a central hub

Payments (MoneyRailsTM) Benefits to Fintechs We Support 14 A Centralized, Secure Platform and Ledger that Facilitates Movement of Money

Components of Model Enable Scaling and Regulatory Oversight Our Technology:Product: Enterprise Data Warehouse -Proprietary and rigorous regulatory process -FinWise controls the data internally Lending programs, including closed and open-ended consumer and commercial • Verify borrower information • Validate loans to models and underwriting criteria, and originate API 2) Payments (MoneyRailsTM)* Payments (MoneyRailsTM) ACH, SDA, TCH RTP, FedNow, Wire, Visa Direct and Mastercard Send, Mastercard RPPS • Rules-based money movement configurations and restrictions • Verification, validation and capture of necessary oversight data API 3) BIN Sponsorship* Card Processors Credit and Charge Cards Debit cards; prepaid • Capture daily cardholder financial activity and bank-defined data sets necessary for oversight and testing of regulatory compliance API 15 1) Strategic Program Lending Credit Engine

Risk-based due diligence process involving 3rd-Party Oversight, BSA, Credit & ISO If Fintech is approved, FinWise team continues to negotiate, including defining potential product and terms Fintech is sent to Implementations Team and put into Scoping to fully define requirements of implementation Pilot Phase GO LIVE Fintech is presented at next internal Third-Party Oversight Committee (TPOC) meeting for approval Proposed term-sheet, signed Letter of Intent, product description, risk assessment submitted to Program Risk Committee (PRC), including Operations Fintech put through Implementations/ Onboarding Process Fintech and FinWise finalize all Implementations/ Onboarding Requirements Intensive Due-Diligence Process and Compliance Assessment Representative Fintech Onboarding - a Thorough Selection Process FINWISE TEAM IDENTIFIES FINTECH PROSPECT Program is "live" and active with ongoing compliance monitoring and regulatory oversight support 16

Disciplined Underwriting Process Mitigates Risk... • Credit risk is managed through combination of policy, data and pricing • Disciplined underwriting process and well collateralized portfolio has helped mitigate net charge-offs, even as credit quality normalized due to higher rate environment • Remain well-reserved with an ACL/Total Gross Loans HFI of 2.8% as of the end of 4Q24, reflecting a lower-risk portfolio vs. prior year period, including: • Significant SBA guaranteed balances as % of Total Gross Loans HFI • Decrease in Strategic Programs (SP) HFI balances as % of Total Gross Loans HFI, which carry a higher reserve rate 17 *ACL = Allowance for Credit Losses; SP = Strategic Programs; HFI = Held for Investment

...and Leads to a Diversified and Lower Risk Loan Portfolio • Combined SBA Guaranteed and Strategic Program Loans (HFS) increased to a total of 45.0% of the portfolio as of 4Q24 vs 42.7% as of FY23. Both of these products carry lower credit risk: SBA Guaranteed loans are guaranteed by the U.S Small Business Administration and Strategic Program Loans (HFS) are supported by reserve deposit accounts • SBA Unguaranteed loans declined from 25.8% of the portfolio as of FY23 to 17.3% as of 4Q24 • SBA Guaranteed balances declined modestly Y/Y, as in 4Q24 we reinitiated selling limited amounts of the guaranteed portion of SBA loans • Our new Credit Enhancement1 product incorporates a fintech financed loss reserve account structured to absorb credit losses Portfolio Characteristics: • SBA portfolio characteristics: Average FICO is 740+. Average time in business is 12+ years. Top 3 industries by Unguaranteed balances are eCommerce, Law Firms and Health Care. Our SBA loss rate is 71% lower than the SBA 7(a) industry for all originations since 2014. • CRE Non-SBA (7.6% as of 4Q24) is 96.7% Owner Occupied; SBA related CRE loans are required to be majority Owner Occupied under SBA guideline 18 *Amounts are as of the end of each respective period. Note: Commercial (Non RE) is mostly Equipment Leasing. 1Credit Enhancement activity is currently immaterial but is currently expected to become more material as we move through the year. 2Total Loans includes Held for Investment (HFI) and Held for Sale (HFS) Lower risk portfolio vs. prior year period

Deposit Composition 19 As of December 31, 2024; Total Period End Deposits: $545 Million Significant opportunity to gradually diversify deposit composition and reduce cost of funds

Disciplined Expense Management While Investing for Growth Longer-term increase in Total Non- interest Expense has been driven largely by business infrastructure spend, including headcount, to support organic growth and key strategic initiatives. 2025 Commentary: Expense growth to be correlated to revenue production. 20 4Q23 3Q24 4Q24 Full Time Employees (FTEs) 162 194 196 Efficiency Ratio (Non-GAAP)2 56.0% 67.5% 64.2% 1All Other Non-interest Expense refers to all other expense components within Total Non-interest Expense, excluding Salaries & Employee Benefits. 2See Appendix at the end of the presentation for Non-GAAP reconciliation

TBV Growth Has Been a Win for Shareholders Tangible Book Value Per Share (Non-GAAP)1 21 1 See Appendix at end of presentation for full description of metric and Non-GAAP reconciliation. Amounts are as of the end of each respective period 2 Bank Peers defined as: Oregon Bancorp, Inc., Quaint Oak Bancorp, Inc., University Bancorp, Inc., BayFirst Financial Corp., Fentura Financial, Inc., CF Bankshares Inc., Meridian Corporation, Coastal Financial Corporation, Capital Bancorp, Inc., FS Bancorp, Inc., Blue Ridge Bankshares, Inc., First Internet Bancorp, Nicolet Bankshares, Inc., Triumph Financial, Inc., Live Oak Bancshares, Inc., Merchants Bancorp, The Bancorp, Inc., Cross River Bank, Metropolitan Bank Holding Corp., Capital Community Bank. Fintech Peers defined as Atlanticus Holdings Corporation, Oportun Financial Corporation, LendingClub Corporation, Pathward Financial, Inc. Note: Bank level Call Report financial data used where holding company consolidated financials unavailable; 3Q 2024 financial data shown where 4Q 2024 holding company consolidated and bank level Call Report financials are unavailable; Source: S&P Capital IQ Pro Indexed Change in TBV Since FINW IPO (4Q21) vs Select Bank and Fintech Peers2

Industry Recognition as a Top-Performing Bank 22 FinWise Bancorp ranked in top 3 on American Banker's annual list of Top-Performing Publicly Traded Banks with under $2 billion of assets (based on 3-year average ROAE ending 12/31/23) 2022 2023 2022 2023 20242024 Source: https://www.independentbanker.org/article/2024/05/01/icba%27s-best-performing-banks-of-2024; https://www.americanbanker.com/list/the-20-top-performing-publicly-traded-banks-with-under-2b-of-assets FinWise Bancorp ranked #1 in its respective class (for the 3rd year in a row) for Best Performing Banks (based on 3-year average pre-tax ROA) FinWise Bank was ranked as one of the 50 fastest growing companies in Utah based on revenue growth over five years. 2022 2023 2024

Selected Financial Information 23

Solid Originations and Significant Balance Sheet Growth 24 1 HFI = Held for Investment. Note: Total Loan Originations are for the quarterly period. Other amounts are as of the end of each respective period

Growing TBVps and Sustained Historical Profitability 251See Appendix for more information and Non-GAAP reconciliation. Tangible Book Value per Share (Non-GAAP) as of the end of each respective period. 2ROAE is negatively affected by high capital levels. Profitability partly impacted by infrastructure investments over the past 18 months to support organic growth and the build-out of key strategic initiatives. ROAE is also negatively affected by high capital levels

Diversified Income Sources 26 1 Other Non-interest Income includes all other non-interest income items, excluding Strategic Program Fees.

Well Capitalized Above Regulatory Requirements 27 Note: data as of the end of each respective period. The Bank's capital levels remain significantly above the well-capitalized regulatory requirement of 9%, pursuant to the Community Bank Leverage Ratio framework adopted by the Bank in 2020.

Appendix 28

Non-GAAP Reconciliations 29 (1) Tangible shareholders’ equity: This measure is not a measure recognized under GAAP and is therefore considered to be a non-GAAP financial measure. Tangible shareholders’ equity is defined as total shareholders’ equity less goodwill and other intangible assets. The most directly comparable GAAP financial measure is total shareholder’s equity to total assets. The Company had no goodwill or other intangible assets as of any of the dates indicated. The Company has not considered loan servicing rights or loan trailing fee asset as intangible assets for purposes of this calculation. As a result, tangible shareholders’ equity is the same as total shareholders’ equity as of each of the dates indicated. (2) Efficiency Ratio: This measure is not a measure recognized under United States generally accepted accounting principles, or GAAP, and is therefore considered to be a non-GAAP financial measure. The efficiency ratio is defined as total non-interest expense divided by the sum of net interest income and non-interest income. The Company believes this measure is important as an indicator of productivity because it shows the amount of revenue generated for each dollar spent. Tangible Shareholders' Equity and Tangible Book Value Per Share As of ($ in thousands, except per share amounts) December 31, 2024 September 30, 2024 December 31, 2023 Total shareholders' equity $ 173,720 $ 170,370 $ 155,056 Goodwill — — — Other intangibles — — — Less: total intangible assets — — — Tangible shareholders' equity1 $ 173,720 $ 170,370 $ 155,056 Tangible book value per share1 $ 13.15 $ 12.90 $ 12.41 Efficiency Ratio For the Three Month Period Ending ($ in thousands) December 31, 2024 September 30, 2024 December 31, 2023 Non-interest expense $ 13,564 $ 14,049 $ 11,503 Net interest income 15,529 14,763 14,367 Non-interest income 5,603 6,054 6,157 Adjusted operating revenue $ 21,132 $ 20,817 $ 20,524 Efficiency ratio2 64.2 % 67.5 % 56.0 %

Non-GAAP Reconciliations 30 As of and for the Three Months Ended As of and for the Year Ended ($ in thousands; unaudited) 12/31/2024 12/31/2024 Total Average Loans HFI Total Interest Income on Loans HFI Average Yield on Loans HFI Total Average Loans HFI Total Interest Income on Loans HFI Average Yield on Loans HFI Before adjustment for credit enhancement $ 454,474 $ 13,348 11.68 % $ 417,207 $ 51,194 12.27 % Less: credit enhancement expense (5) (8) Net of adjustment for credit enhancement expenses $ 454,474 $ 13,343 11.68 % $ 417,207 $ 51,186 12.27 % The following non-GAAP measures are presented to illustrate the impact of certain credit enhancement expenses on total interest income on loans HFI and average yield on loans HFI: Note: Total interest income on loans HFI net of credit enhancement expense and the average yield on loans HFI are non-GAAP measures that include the impact of credit enhancement expense on total interest income on loans HFI and the respective average yield on loans HFI, the most directly comparable GAAP measures.

Non-GAAP Reconciliations 31 As of and for the Three Months Ended As of and for the Year Ended ($ in thousands; unaudited) 12/31/2024 12/31/2024 Total Average Interest-Earning Assets Net Interest Income Net Interest Margin Total Average Interest- Earning Assets Net Interest Income Net Interest Margin Before adjustment for credit enhancement $ 617,737 $ 15,529 10.00 % $ 589,880 $ 58,912 9.99 % Less: credit enhancement expense (5) (8) Net of adjustment for credit enhancement expenses $ 617,737 $ 15,524 10.00 % $ 589,880 $ 58,904 9.99 % The following non-GAAP measures are presented to illustrate the impact of certain credit enhancement expenses on net interest income and net interest margin: Note: Net interest income and net interest margin net of credit enhancement expense are non-GAAP measures that include the impact of credit enhancement expenses on net interest income and net interest margin, the most directly comparable GAAP measures.

Non-GAAP Reconciliations 32 ($ in thousands; unaudited) Three Months Ended December 31, 2024 Year Ended December 31, 2024 Total non-interest expense $ 13,564 $ 52,835 Less: credit enhancement expense (5) (8) Total non-interest expense less credit enhancement expenses $ 13,559 $ 52,827 Non-interest expenses less credit enhancement expenses is a non-GAAP measure presented to illustrate the impact of credit enhancement expense on non-interest expense: Total non-interest income less credit enhancement income is a non-GAAP measure presented to illustrate the impact of credit enhancement income resulting from credit enhanced loans on non-interest income: ($ in thousands; unaudited) Three Months Ended December 31, 2024 Year Ended December 31, 2024 Total non-interest income $ 5,603 $ 22,485 Less: credit enhancement income (25) (111) Total non-interest income less credit enhancement income $ 5,578 $ 22,374 Note: Total non-interest expense less credit enhancement expense is a non-GAAP measure that illustrates the impact of credit enhancement expenses on non-interest expense, the most directly comparable GAAP measure. Total non-interest income less indemnification income is a non-GAAP measure that illustrates the impact of credit enhancement income on non-interest income. The most directly comparable GAAP measure is non-interest income.

Non-GAAP Reconciliations 33 ($ in thousands; unaudited) As of December 31, 2024 Allowance for credit losses $ (13,176) Less: credit enhancement asset (111) Allowance for credit losses excluding the effect of the credit enhancement asset $ (13,065) The following non-GAAP measure is presented to illustrate the effect of the credit enhancement program that creates the credit enhancement on the allowance for credit losses: Note: The allowance for credit losses excluding the effect of the allowance for credit losses related to credit enhanced loans is a non-GAAP measure that reflects the effect of the credit enhancement program on the allowance for credit losses. The total outstanding balance of loans held for investment with credit enhancement as of December 31, 2024 was approximately $0.9 million.

Glossary of Terms Used 34 ACH (The Automated Clearing House). Electronic funds-transfer system that facilitates payments in the U.S. and internationally. The ACH is run by Nacha. API (Application Programming Interface). Set of defined rules that enable different applications to communicate with each other. It acts as an intermediary layer that processes data transfers between systems, letting companies open their application data and functionality to external third-party developers, business partners, and internal departments within their companies. Banking-as-a-Service (BaaS). Banking model in which licensed banks integrate their digital banking services directly into the products of other non-bank businesses. This allows non-bank businesses to offer their customers digital banking services such as mobile bank accounts, debit cards, loans and payment services, without needing to acquire a banking license of their own. The bank's system communicates via APIs and webhooks with that of the non-bank's business, enabling the end customer to access banking services directly through the non-bank’s website or app. BIN (Bank Identification Number) Sponsorship. BIN sponsorship allows fintech businesses to quickly gain direct access to the payment processing and card management services provided by the likes of Visa or Mastercard without going through the process of joining a major card scheme. It provides fintechs with quickest way to launch a financial product with a debit, credit or prepaid card attached. Credit Enhancement. FinWise generates interest income from existing and potential new strategic programs through contractual interest earned on loans maintained on the FinWise balance sheet. Fintech strategic programs using this product are required to hold a deposit account at FinWise against which charge-offs are recovered, and which is trued up monthly post any charge-offs. FedNow. The clearing service for financial institutions to provide immediate end-to-end payments to customers. The key difference between this service and the Fed’s previous system is that FedNow will be online 24/7, processing transactions in real time. HFI (Held for Investment). When a reporting entity holds an originated or purchased loan for which it has the intent and ability to hold for the foreseeable future or to maturity or payoff, the loan should be classified as held-for-investment. Loans held for investment are reported on the balance sheet at their amortized cost basis. HFS (Held for Sale). When a reporting entity originates or purchases a loan with the intent to sell the loan to another entity (e.g., a government sponsored enterprise). Mastercard RPPS (Remote Payment and Presentment Service). Mastercard RPPS optimizes electronic bill payment by connecting banks to billers. It offers a single, reliable connection for electronic payment providers to help with fast & secure consumer bill payments. Mastercard Send. Mastercard’s offering in the real-time personal payments arena. Senders can immediately make “push payments” to bank accounts, mobile wallets, prepaid debit cards, or targeted cash- out locations. The sender can initiate a Mastercard Send transaction with just the recipient’s debit card number. MoneyRailsTM is FinWise's Payments hub, which is a single-window platform through which companies can execute all their payments, and issue virtual cards. MoneyRails also provides the ability to safeguard funds in an array of account types: FBO and subaccounts to satisfy FinTechs’ deposit needs, as well as traditional Savings, Checking, Certificate of Deposits, etc. . Payment hubs increase fund control and visibility, reduce the risk associated with numerous fragmented payment processes, and improve overall operating efficiency. NIM: Net Interest Margin SBA 7(a) loans. Small-business loans issued by a private lender and partially backed by the U.S. Small Business Administration. SMBs. Small to medium-sized businesses. Strategic Program Lending - SPL (sometimes referred as Marketplace Lending). Lending predominately done through fintech platforms that connect borrowers with lenders. TBV: Tangible Book Value The Clearing House RTP. A real-time payments platform that all federally insured U.S. depository institutions are eligible to use for payments innovation. All RTP payments are processed by The Clearing House. When you pay your utility bill for the month using RTP, your bank sends message to network which includes the details of the payment. The Clearing House then processes the message and routes it to utility company's bank, completing the payment. Visa Direct. A type of Original Credit Transaction (OCT) that allows fast and secure payment transfers to customers using their card details. Unlike with other payment methods, where it can typically take up to 24 hours for the funds to be transferred to the customer, Visa Direct transactions normally complete near-instantly.

Cover	Jan. 30, 2025
Cover [Abstract]
Document Type	8-K
Document Period End Date	Jan. 30, 2025
Entity Registrant Name	FINWISE BANCORP
Entity Incorporation, State or Country Code	UT
Entity File Number	001-40721
Entity Tax Identification Number	83-0356689
Entity Address, Address Line One	756 East Winchester St., Suite 100
Entity Address, State or Province	UT
Entity Address, City or Town	Murray,
Entity Address, Postal Zip Code	84107
City Area Code	801
Local Phone Number	501-7200
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	FINW
Security Exchange Name	NASDAQ
Entity Central Index Key	0001856365
Amendment Flag	false

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