What technology does TowneBank run on?
TowneBank's stack is bought, not built, and in 2025-2026 it has been shaped by acquisitions. Village Bank's online banking moved onto TowneBank's systems on June 9, 2025; Old Point's accounts and online systems came under the TowneBank name on February 9, 2026; and on June 22, 2026 Old Point Online was updated to Towne24, which the bank calls 'TowneBank's online and mobile banking platform' and says 'sets the stage for many years to come'. Dogwood State Bank's business online banking and treasury services move to Towne24 on November 2, 2026. Around the core sit Talkdesk's Financial Services Experience Cloud in the member service centre, a cloud-based SAS framework for CECL credit-loss modelling and member analytics with 15 years of data, and Microsoft Copilot on bankers' computers. Software expense was $27.63 million in 2025, up 3.05%, and data processing $17.21 million, per the 2025 10-K; in the second quarter of 2026 software expense was $7.48 million against $6.84 million a year earlier. The 10-K lists 'system conversion delays' among technology risks. The core banking vendor is not named in the filings or on the bank's site.[1][2][3][4][5][6][7][8][9]
Data as of Oct 16, 2026 · TowneBank profile updated Oct 13, 2026 · 23 sources cited on this page · 140 banks profiled on this site · Markdown
Which systems and vendors make up TowneBank's technology?
As named by TowneBank or by the vendor about TowneBank. Undated bank web pages were read on October 15, 2026.
| Layer | System | What it does | Since / status |
|---|---|---|---|
| Digital banking | Towne24 | TowneBank's online and mobile banking platform; adds a loan payment breakdown and Same Day ACH for businesses; replaced Old Point Online | June 22, 2026 for Old Point members; Dogwood business users November 2, 2026[3][4] |
| Digital banking | Towne-Personal and Towne-Biz | Online and mobile banking 'recently redesigned': customisable home screen, refreshed bill pay with payment calendar, spending and budgeting tools | Live (redesign undated)[10] |
| Card controls | Card Suite Pro | Separate debit-card app that replaced Card Control: on/off, spending limits by merchant, transaction type and location; to move into the main app 'in the coming months' | Live[11] |
| Contact centre | Talkdesk Financial Services Experience Cloud | Member service across loans, cards and online banking; Talkdesk Copilot and Interaction & Quality Analytics give agents real-time insights, automated summaries and AI-driven knowledge | In production (customer story September 2025)[5][12] |
| Risk and analytics | SAS (cloud) | CECL credit-loss framework with 15 years of historical and forecasting data in a SAS warehouse, reused for peer analysis and member-needs analytics | Implemented after 2018; case study May 2024[6] |
| Productivity | Microsoft Copilot | Installed on bankers' computers; prompt manual and training plan delivered for use 'inside the bank's private network' | Rolling out (June 2026)[7] |
| Security framework | FFIEC and NIST Cybersecurity Framework | Cyber risk aligned to both; IT team logs incidents across the bank and its vendors; internal audit tests cyber controls; vendor management programme | Per 2025 10-K[8] |
How has TowneBank moved acquired banks onto its systems?
Each acquisition is followed by a systems and brand conversion; the dates are from TowneBank's member guides.
| Bank | Conversion | What changed | Date |
|---|---|---|---|
| Village Bank | Online banking onto Towne-Personal and the TowneBank Mobile Banking app | Village app stopped at noon on June 6; alerts, external transfers and Zelle had to be re-established | June 9 (2025; merger closed April 1, 2025)[1][8] |
| Old Point National Bank | Branches, accounts and online systems under the TowneBank name | Members kept a refreshed Old Point Online with the same credentials; personal online wires removed; Card Controls withdrawn pending 'a new service coming to you in 2026' | February 9, 2026[2][13] |
| Old Point National Bank | Old Point Online upgraded to Towne24 | Promised 'later in 2026'; delivered with a new login, app icon and Quicken, QuickBooks and Plaid re-linking | June 22, 2026[13][3] |
| Dogwood State Bank | Bank becomes TowneBank; business online banking and treasury move to Towne24 | Bill pay and ACH origination paused from as early as 1 PM on October 30; ACH history does not migrate; ACH company IDs change | November 2, 2026[14][4] |
| blueharbor bank | Agreement signed; conversion not yet scheduled | About $154 million; expected to close in the first quarter of 2027 | Announced October 6, 2026[15][16] |
| All acquired banks | Incentive tied to conversion | Executive chairman can earn up to $2.5 million tied to converting and integrating the acquired banks | 2026 proxy[17] |
How much does TowneBank spend on software and data processing?
Consolidated figures from the FDIC filings, in the bank's own line items; TowneBank does not disclose a technology budget.
| Line item | Amount | Change | Period |
|---|---|---|---|
| Software expense | $27.63 million | Up $0.82 million, 3.05%, from $26.82 million (2024 was up 8.72% on 2023's $24.67 million) | Year 2025[8] |
| Data processing expense | $17.21 million | Up 1.17% from $17.01 million (2024 was up 13.16%) | Year 2025[8] |
| Banking-segment software and data processing | $18.16 million and $11.57 million | Up 4.62% and 10.20% | Year 2025[8] |
| Software expense | $7.48 million | From $6.84 million in Q2 2025; $15.87 million in the first half vs $13.13 million | Q2 2026[9] |
| Banking-segment data processing | $3.20 million | Up 12.5% from $2.84 million | Q2 2026[9] |
| Software cost driver (2024) | Higher core system costs | The 2024 10-K attributes the software increase to 'higher core system costs' and data processing to volumes, merchant fees and a vacation-business core conversion | Year 2024[18] |
What does the TowneBank profile record on this topic?
The rows below are the entries of the TowneBank AI strategy profile that bear on this page, as of Oct 13, 2026; the profile holds the full record of 24 dated moves, 12 use cases and 21 sources.
| Use case | What the record shows | Status | Source |
|---|---|---|---|
| Talkdesk cloud contact centre with Talkdesk Copilot | Member service runs on Talkdesk's cloud contact-centre platform, starting with Talkdesk Copilot agent assistance and Interaction & Quality Analytics; Talkdesk reports a 23-second cut in average handle time and a 97% satisfaction rate (vendor-reported). | In production | [12][5][19][20] |
| Microsoft Copilot for bankers | Copilot is installed on bankers' computers but rarely used by many; a UNC Greensboro MBA capstone recommended meeting-preparation uses, a prompt manual and a training plan for safe use within the bank's private network. | Rolling out | [7] |
| SAS credit-loss modelling and member analytics | Cloud-based SAS CECL solution with 15 years of historical and forecast data; the framework is reused for peer analysis and member-needs analytics. | In production | [6] |
| Cyber risk management and vendor incident response | Aligned to FFIEC and NIST frameworks, with a vendor management programme and internal-audit testing; a 2025 incident at vendor Marquis was disclosed by 8-K. | In production | [8][21] |
| Acquisition integration (Old Point, Dogwood) | Integration of Village (April 2025), Old Point (September 2025) and Dogwood State Bank (January 2026) across Virginia and the Carolinas; the 10-K names system-conversion delays among technology risks, and Talkdesk reports its contact centre handled 200+ simultaneous calls during a system conversion. | In production | [8][22][19] |
| Board-level risk oversight covering cyber and technology risk | The Enterprise Risk Management Committee oversees the enterprise risk programme, which lists cyber and security risk, operational risk and Bank Secrecy Act/anti-money-laundering compliance, and receives reports on actual or potential security breaches; chief risk officer Ernest Piccioli is its non-voting secretary. No AI-specific committee or policy is disclosed. | In production | [17][8] |
| Information-security and privacy programme | Layered preventive and detective tools, software patch management, independent internal and external penetration testing, an incident response programme, a disaster recovery plan and mandatory annual information-security training, led by a chief information security officer. | In production | [17] |
| Copilot for meeting preparation and document review | Suggested uses are summarising industry trends, drafting meeting briefs, reviewing appraisals and credit memos, and turning handwritten notes into to-do lists; assistant vice president Jon Fulton used Copilot to turn financial-statement data into a customer graphic in under two minutes, a task he said would take an hour or two. | Pilot | [7] |
| Talkdesk agent assist across loans, cards and online banking | Talkdesk says member support was unified across loans, cards and online banking, with real-time insights, automated summaries and AI-driven knowledge for agents; the bank chose AI features that enhance rather than replace human interactions (vendor description). | In production | [5] |
| Dogwood and blueharbor system conversions | Dogwood's core systems and operations convert to TowneBank's in November 2026; the blueharbor agreement of 6 October 2026 is expected to close in the first quarter of 2027. The 10-K lists system-conversion delays among technology risks. | Announced | [23][15][8] |
| Date | Move | Detail | Source |
|---|---|---|---|
| Oct 6, 2026 | blueharbor bank acquisition announced | About $154 million, 75% in stock; $628 million of assets; expected to close in the first quarter of 2027, adding a fourth Carolinas conversion to the integration queue. | [15][16] |
| Aug 18, 2026 | Talkdesk cites TowneBank as an automation reference | Talkdesk's bank-branch launch points to TowneBank and Merchants Bank as financial organisations scaling customer engagement with automation. | [20] |
| Aug 6, 2026 | Second-quarter 2026 10-Q filed with the FDIC | No reference to artificial intelligence; banking-segment data-processing expense was $3.20 million, up 12.5% from $2.84 million; banking segment had 2,011 full-time equivalent employees. | [9] |
| Jun 22, 2026 | UNCG MBA capstone on Microsoft Copilot adoption | Students recommended meeting-preparation uses, a prompt manual and a training plan for using Copilot safely within the bank's private network. | [7] |
| Apr 10, 2026 | 2026 proxy statement: cyber oversight and a conversion incentive | The Enterprise Risk Management Committee oversees the cybersecurity programme run by an unnamed chief information security officer; the bank carries cyber insurance; the executive chairman can earn up to $2.5 million tied to converting and integrating the acquired banks. | [17] |
| Jan 12, 2026 | Dogwood core-systems conversion scheduled for November 2026 | Dogwood locations operate as a division of TowneBank until November 2026, when its core systems and operations convert to TowneBank's. | [23] |
| Dec 4, 2025 | 8-K: data incident at vendor Marquis | Information held by Marquis that may have included names, contact details and Social Security or account numbers was involved; TowneBank's own systems were not affected and no misuse has been found. | [21] |
| Oct 30, 2025 | Talkdesk CX Innovators honourable mention | Talkdesk reports 200+ simultaneous calls handled during the system conversion, a 23-second reduction in average handle time and a 97% satisfaction rate (vendor-reported). | [19] |
| Sep 25, 2025 | Talkdesk customer story: AI tools in member service | TowneBank started with Talkdesk Copilot and Interaction & Quality Analytics on Talkdesk's Financial Services Experience Cloud, choosing AI features that enhance rather than replace human interactions. | [5] |
| Jun 18, 2025 | CIO Denys Diaz on Talkdesk and AI | Talkdesk's cloud contact-centre platform supports member service; Diaz: 'there's nothing AI can't fix or help with'. | [12] |
| May 22, 2024 | SAS case study: CECL and member analytics in the cloud | SAS credit-loss (CECL) framework reused for peer analysis and member-needs analytics; answers 'in hours instead of days or months'. | [6] |
What is Towne24?
Towne24 is what TowneBank calls its online and mobile banking platform. Old Point Online members were moved onto it on June 22, 2026, with a loan payment breakdown and Same Day ACH for business members, and Dogwood State Bank's business online banking and treasury services move to it on November 2, 2026. The bank says Towne24 'sets the stage for many years to come'.
Which core banking system does TowneBank use?
TowneBank does not name its core provider in its FDIC filings or on its website. The 2024 10-K attributes rising software expense to 'higher core system costs', and the 2025 10-K lists system conversion delays among its technology risks. Dogwood's core systems and operations convert to TowneBank's in November 2026.
What vendors does TowneBank use for AI and analytics?
Talkdesk for the member service contact centre (Financial Services Experience Cloud with Talkdesk Copilot and Interaction & Quality Analytics), SAS in the cloud for CECL credit-loss modelling and member analytics, and Microsoft Copilot on bankers' computers. No cloud AI agreement, model provider or data platform beyond these has been disclosed.
How much does TowneBank spend on technology?
It does not report a technology budget. Its line items show software expense of $27.63 million and data processing of $17.21 million in 2025, per the 10-K filed with the FDIC, and software expense of $7.48 million in the second quarter of 2026 against $6.84 million a year earlier.
When does Dogwood State Bank convert to TowneBank systems?
On November 2, 2026, when Dogwood State Bank becomes TowneBank. Business online banking and treasury management move to Towne24; bill pay and ACH origination pause from as early as 1 PM on October 30; ACH history does not migrate and ACH company IDs change. Routing numbers on authorised transactions must be updated by December 31, 2027.
- Village Bank: Personal Online Banking Transition
- Welcome Old Point National Bank Members
- Towne24 (Old Point Online updated to Towne24)
- Dogwood: Business Online Banking & Treasury Services Transition Guide (Welcome to Towne24 for Business)
- TowneBank Customer Story
- Banking on cloud: TowneBank primes for continued growth with SAS
- Bryan School Students Bring Fresh Perspective to TowneBank's AI Strategy
- TowneBank Annual Report on Form 10-K for the fiscal year ended December 31, 2025
- TowneBank Form 10-Q for the quarter ended June 30, 2026
- Online Banking Has a Whole New Look
- Debit Card Control with Card Suite Pro
- Information superhighway: Denys Diaz
- Old Point: Personal Online Banking Transition
- Dogwood Online Member Information Guide
- TowneBank deal shrinks pool of NC bank targets
- TowneBank Agrees to Acquire blueharbor bank for Approximately $154 Million
- TowneBank 2026 Proxy Statement
- TowneBank Annual Report on Form 10-K for the fiscal year ended December 31, 2024
- Celebrating the CX Innovators winners shaping customer experience
- Talkdesk transforms the bank branch into an AI-powered advisory hub
- TowneBank Form 8-K (Item 8.01: data security incident at a third-party service provider)
- TowneBank Reports Second Quarter 2026 Earnings
- TowneBank Announces Completion of Dogwood State Bank Merger
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