<img height="1" width="1" style="display:none;" alt="" src="https://px.ads.linkedin.com/collect/?pid=348068&amp;fmt=gif">

SFTP for banking and financial institutions

Posted on Feb 27, 2023 • Updated on Sep 29, 2025

Banks and other financial institutions have some of the strictest security policies of any industry due to the sensitive nature of the files involved. Because of this, using a secure file transfer solution is absolutely essential, and while there are many other MFT platforms that are secure enough for financial file transfers, where many fall short is in connectivity. 

Modern businesses tend to use several different platforms, and it's not uncommon for FIs to use a hybrid of cloud applications and on-prem servers due to security requirements, restrictions, and compliance. Because of the strict nature of these transfers--especially ones involving external organizations--many FIs have manual steps in the transfer process to make sure nothing goes wrong. 

But these manual processes are not only slow, they require time and resources to complete and are prone to human error. Automating processes can be a huge time-saver, but only if the platform is secure and can connect to the required systems. 

Couchdrop helps you connect all your systems together and securely transfer files between them automatically. Whether you need to transfer files from NetSuite to SharePoint, a server to cloud storage, or anything else, Couchdrop gets your files from wherever they are to where they need to be quickly and securely.

Why use Couchdrop SFTP for finance?

Couchdrop is a cloud-native MFT platform with a serverless architecture designed to make file transfers fast and secure. Setting up an SFTP server with Couchdrop takes a couple of minutes with no need to write config files or spin up virtual machines.

A primary feature in Couchdrop is its versatility and connectivity. Couchdrop can connect to many types of cloud systems, like Microsoft Azure, SharePoint, and Google Drive, as well as to on-prem servers using the Couchdrop agent. This means you can use legacy, proprietary, or specialty systems–including software specific to financial institutions — and securely transfer files to the cloud for storage or for further action.

Couchdrop SFTP is suitable for banking, credit unions, and other financial institutions because it meets required compliance and security standards. With Couchdrop, data is never stored at rest; it simply works as an intermediary to move files between your other systems. This means that no customer data is stored on Couchdrop servers, and you have full control over your data.

For more information on how Couchdrop works with financial institutions, read our whitepaper Managed File Transfer for Banking and Financial Institutions. 

MFT_Finance_White_Paper_2025_cover-with-border

Common uses for SFTP for financial institutions

There are many reasons for FIs like banks and credit unions to use SFTP, and Couchdrop makes secure file transfers easy. Some common uses include:

  • Transferring files from an on-premise server to another server or cloud storage account for further action 
  • Using automations to archive files in a specific directory regularly, such as on the 5th of each month.
  • Moving old records to a Cool tier in Azure after a certain amount of time has elapsed for cost savings
  • Having customers upload documents with Personally Identifiable Information into a secure upload portal and transferring those files to the bank’s internal server.
  • Retrieving statements that can be added to customer profiles or sent directly to the customer.
  • Connecting to partner or supplier servers (such as another SFTP server) and securely moving files between the two as needed.
  • Sending quarterly finance reports generated from bank software to a SharePoint site where the information can be accessed by external consultants. 

Connecting to financial platforms via SFTP with Couchdrop

One of the benefits of using Couchdrop SFTP for banking and finance is that the platform is versatile. It can connect to both cloud systems like Alkami, MYOB, or AccessPay, as well as legacy systems on on-prem servers, with the added benefit of letting you bring your own cloud storage.

Connecting to Couchdrop is easy. Simply make an account, add your storage, and you’re ready to go. Cloud storage like Azure and Google Workspace only takes a couple of minutes and a few clicks to set up.

Once connected, you can select a subfolder from your server as the top-level directory for user access within Couchdrop, and can then transfer files to and from the file server using any of Couchdrop's features, including SFTP file transfers, secure sharing, and file request portals. 

However, making the initial connection to back-office software or an on-prem server can take a few more steps than cloud platforms, but most still only take a couple of minutes to connect. 

How to connect to on-prem banking systems

Many banking systems and servers connect to Couchdrop through the Windows/OSX agent. To use the Couchdrop agent, you’ll need to download and install it from the Couchdrop website, run it on the server, and add the agent connection token generated by Couchdrop.

For a full guide on how to connect an on-prem file server, see How to integrate an OSX or Windows server with Couchdrop

Connecting to remote FTP and SFTP servers

Another common way to connect to banking systems is by connecting to a remote FTP or SFTP server. If files from the system are uploaded to a server, you can then integrate that server with Couchdrop for secure and automated file transfers. 

For a full guide on how to connect to a remote server, see How to connect Couchdrop to remote servers and other systems.

 

Making the most of Couchdrop’s cloud SFTP for financial institutions

Connecting to your server through SFTP is only one part of what Couchdrop can do for financial institutions. The real power comes from using Couchdrop to connect to cloud storage or to other services. This is especially useful if your FI uses multiple cloud storage providers or servers that you need to connect to regularly.

The set-and-forget aspect of Couchdrop means less time doing grunt work and freeing up time for what’s important. With easy setup and the ability to connect to your servers and storage, Couchdrop simplifies SFTP for banking and financial institutions by providing a fast and secure way to transfer files. Register for a free 14-day trial today to see how Couchdrop can work for you.