Tech People in the Know: Solutions by Text’s David Baxter

In what is a recurring feature, Finopotamus profiles interesting and intriguing tech professionals who are positively impacting the credit union industry.

For this issue, we visited with David Baxter, CEO of Solutions by Text.

By W.B. King

As a senior account executive for AOL in the late 1990s, David Baxter was all too familiar with the then famous phrase, “You’ve got mail.”  At the time, his responsibilities included helping members navigate online financial services and monetizing partnerships with financial institutions, including Ameritrade and Citibank.

“This was when banks and financial institutions began establishing their online presence. From there, I built a global business for FIS and later led international sales for a bill pay company that ACI Worldwide acquired,” Baxter told Finopotamus. “I’ve always been fascinated by how people view and pay their bills. Over the years, I've watched the space evolve from home banking to online banking to mobile apps, moving towards real-time payments.”

Dave Baxter

In 2021, Baxter was named CEO of the Dallas -based Solutions by Text (SBT). The fintech, which has more than 600 clients, including financial institutions (FIs), bills itself as enabling businesses in consumer finance to effectively and conveniently reach their customers through a compliance-first messaging platform that seamlessly integrates payments.

“I joined SBT when I realized that texting allows financial services companies to communicate with consumers. Two-way discussions simplify communication, helping strengthen the relationship between the consumer and the organization,” Baxter shared. “Just as Uber revolutionized transportation by creating a more seamless experience, texting offers a similar leap forward for financial services.”

He noted that over the course of his career, technology companies have uniquely evolved.  “While much of the tech sector moves quickly, financial services demand a more structured and methodical pace, mainly due to regulatory requirements and the high stakes associated with brand trust and reputation,” Baxter said.

Putting the ‘Fin’ in Text

Among SBT’s products is FinText, a platform designed specifically for consumer finance clients. Baxter explains the solution eliminates integration headaches related to SMS and MMS messaging, payment processing, reporting and analytics, service and support, and compliance. “This level of rigor sets us apart from companies operating in less-regulated industries. We don’t just follow the rules; we aim to be trusted partners with regulators,” Baxter continued. “That relationship takes time and requires a fundamentally different product development and leadership mindset.”

Before rolling out any solutions, SBT’s approximately 200 employees follow a golden rule: pilot, test and refine. “We collaborate with clients and carriers to prototype and validate new solutions, gather feedback, analyze outcomes, and continuously refine them,” Baxter said. “At SBT, our leadership philosophy centers on three core values: being allies, acting as pioneers, and pursuing excellence in everything we do. These values shape a culture that balances accountability with opportunity, allowing individuals to do their best work while driving the company forward.”

RCS: the New Mobile App

As Baxter sees it, the most important development in this space has been rich communication services (RCS) messaging—what he called the most significant development in the last 30 years.

“RCS transforms traditional SMS into a secure, branded, and interactive experience, delivering app-like functionality directly within a messaging thread. Businesses can now offer dynamic features like branded interfaces, interactive buttons, image carousels, video, and even virtual card issuance without requiring consumers to download an app,” he continued. “We believe RCS will ultimately replace mobile apps as the primary channel for customer engagement.”

Artificial intelligence (AI) is also factoring into product development. To this end, he said SBT leverages three core benefits: compliance, conversational finance and connectivity.

“SBT embraces AI to solve real problems and create measurable value, prioritizing responsive, responsible solutions over novelty,” he noted. “We apply AI where it solves real problems and creates measurable value, not just because it's new but because it helps us build more responsive, responsible solutions.”

A Digital-First World for Credit Unions

The credit union industry’s “deep commitment to personal service and fostering community connection” sets it apart from other FIs, Baxter said. From a technological standpoint, he conceded that this strength can also create challenges. “Many credit unions haven't fully adapted their communication channels to meet the expectations of today's digital-first members.”

Baxter believes that RCS-based solutions are a perfect compliment to the credit union industry’s “human touch” to building lasting real-time personalized interactions without members needing to download an app or log in to a portal.

“It’s a powerful way for credit unions to bridge the gap between high-touch service and high-tech expectations,” he shared. “By embracing mobile-first strategies like RCS, credit unions can deepen relationships, modernize member engagement, and stand out from larger, less personal financial institutions.”

While Baxter noted that many credit unions and other FIs have been historically hesitant to adopt new consumer communication technologies, particularly in highly regulated environments like financial services, he has seen a recent shift in philosophy.

“Credit unions have demonstrated a strong interest in RCS to meet their members' evolving expectations. They see the potential to enhance engagement, streamline operations, and deliver more personalized service, all without the friction of apps or logins,” he continued. “For example, a large credit union recently partnered with us to create a highly personalized mobile experience for its members. This demonstrated how fintech solutions can help credit unions differentiate and thrive in a digital-first world.”