Slide 1: US Entry Provides A Transformational Opportunity
US Entry Provides A Transformational Opportunity Investor Presentation September 2025 NASDAQ: VBNK | TSX: VBNK
Slide 2: Advisory
Advisory The Bank occasionally makes forward-looking statements about its objectives, operations and targeted financial results. These statements may be written or verbal and may be included in such things as press releases, corporate presentations, annual reports and other disclosure documents and
Slide 3: A Better Bank Model
Excessive lending risk Loan losses / collections Deposit / liquidity risk A Better Bank Model Economic exposure Founded on Technology Interest rate exposure Physical infrastructure Inefficiency 3
Slide 4: A North American Leader
Fully Digital Highly Efficient: Branchless, Innovative, Value-Added North American Bank Partner (B2B) model Deposit & Lending Solutions for Underserved Markets • Operating leverage of a technology company with the intrinsic value of a bank A North American Leader • Highly risk-mitigated model: Very
Slide 5: Cloud-Based, Branchless, Partner (B2B) Model
Cloud-Based, Branchless, Partner (B2B) Model Using VersaBank’s Proprietary Banking Technology Proprietary, state-of-the-art software based out of two technology centres Saskatoon, SK Minneapolis, MN Des Moines, IA • All deposits/credit (Azure Cloud Facility) London, ON assets managed digitally • No
Slide 6: Proprietary Technology Enables Ultra Low-Risk Digital Model
Proprietary Technology Enables 6 Ultra Low-Risk Digital Model Organization-Wide Focus on Risk Mitigation • Technology-based approach Very Sticky Deposits 30+ Years with to risk analysis/monitoring No Material Credit Asset Losses • Rigorous, multi-step, multi- • Brokered Deposits: executive approval
Slide 7: Deposits: Unlimited Low-Cost, Very Stable Sources
Deposits: 7 Unlimited Low-Cost, Very Stable Sources • Objective to minimize cost of deposit funding >220 Partners Provide Access • Very “sticky” deposit base to Millions of Depositors Deposit Composition: Deposit Brokers (>120 Partners) Q3 2025 • Extensive network of providing exposure to vast major
Slide 8: Credit Assets: Very Low Risk Lending Channels
Credit Assets: 8 Very Low Risk Lending Channels • Low-cost deposits enable low-risk lending 30 Partners Provide Access to • 30-year history of virtually no credit asset losses Hundreds of Millions of Borrowers Credit Asset Composition: Receivable Purchase Program Q3 2025 • Reliable, attractive alter
Slide 9: Point-of-Sale Receivable Purchase Program (RPP)
Point-of-Sale Receivable Purchase Program (RPP) Innovative, Unique and Efficient Digital Funding Solutions for Point-of-Sale Finance Companies • Readily accessible, reliable, economic funding, and daily loan sales (real-time sales in development) • VersaBank typically provides 100% of loan value (vs
Slide 10: A Significantly Risk Mitigated Model
A Significantly Risk Mitigated Model Proven Highly Extensive Partner Due Continuous Attractive & Diligence & Monitoring Loan monitoring Successful in Canada Restricted to the highest quality lenders - • Real-time, technology-based • >14 years in market typical 10-year track record monitoring Annual
Slide 11: Success of Canadian POS Business Has Driven Profitability
Success of Canadian POS Business Has Driven Profitability $ CAD (millions) $14.0 55% $60 51% 51% 52% $12.0 49% 11.8% 11.5% $50 $10.0 8.5% 8.9% 8.5% 6.00 7.9% 43% 44% $40 $180 $8.0 6.6% $4.84B $30 $160 $6.0 5.00 $4.0 $4.20 B $20 $140 4.00 $120 $10 $2.0 $3.27 B $100 $0.0 $0 3.00 $2.42 B $80 2.00 $1.78
Slide 12: Q3 2025 Key Metrics & Highlights
Q3 2025 Key Metrics & Highlights 12 Total Assets $5.48 B • Record credit assets, up 18% YoY & 6% sequentially Credit Assets $4.78 B • Record revenue NIM on Credit Assets 2.55% • Net interest margin grew YoY Healthy sequential increase in Total Revenue $31.6 M • adjusted net income Adjusted Net Incom
Slide 13: VersaBank USA: Transformational Opportunity
VersaBank USA: Transformational Opportunity First Launched US Regulatory Appointed VB USA Post-Acquisition US Securitized RPP Executives RPP Partner & Approval Funding Option High-Growth, Jul 2024 Aug 2025 May 2024 Q1 2025 Underserved Multi-Trillion $ Market Second Canadian Closed US Bank Additional
Slide 14: Capitalizing on the Significant Operating Leverage in Our Core Digital Banking Operations
Capitalizing on the Significant Operating Leverage in Our Core Digital Banking Operations $ CAD (millions) $14 $12 52% 55% 12.0% 11.5% $60 Next Milestones: $50 $10 8.0% $40 Total Assets $8 7.0% 43% 44% >C$6B >C$7.5B >C$10B $6.00 $180 $6 C$4.84 B $30 $160 US$3.48B$20 $5.00 $4 C$4.20 B US$3.03B $140 $
Slide 15: The Digital Asset Revolution is Transforming the Financial Services Industry
Younger generations increasingly prefer digital interactions The Digital Asset over traditional banking methods / Declining use, interest in physical branches and traditional banking services Revolution is • Less than 50% of Gen Z have a traditional bank account Transforming the • Younger generation
Slide 16: VersaBank's Proprietary Digital Deposit Receipts
Developed by a Bank for Banks: All the functionality, efficiency, auditability, safety and security of stablecoins and other encrypted digital VersaBank’s Proprietary assets WITHOUT the associated volatility and risk, and WITH: Digital Deposit Receipts - Conventional bank deposit insurance (FDIC, CD
Slide 17: Market Ready Solution: Near-Term Commercialization
Market Ready Solution: Near-Term Commercialization Very Compelling Proposition for Banks and Payments Providers Significantly Enhanced Depositor Loyalty/Stickiness of Deposits for Banks • Reduced funding costs, lower or no cost deposits as customers prioritize holding digital currency • DDRs circula
Slide 18: Proposed Realignment of Corporate Structure
18 Proposed Realignment of Corporate Structure Intended to Realize Additional Shareholder Value, Further Mitigate Risk and Reduce Corporate Costs • Would align corporate structure with that of standard US bank framework with which US and international investment communities are most familiar • Propo
Slide 19: DRT Cyber: "Free Option" on Digital Banking Valuation
DRT Cyber: “Free Option” on Digital Banking Valuation One of North America’s Premiere IT Security Assurance Services Firms • Comprehensive Suite of Services: – External network, web and mobile app penetration testing – Physical social engineering engagements – Supervisory control & data acquisition
Slide 20: Why VersaBank? Why Now?
At inflection point for operating leverage, earnings growth and ROCE generation US Receivables Purchase Program (RPP) (proven in Canada) ramping up in an underserved multi-trillion $ US market Highly risk-mitigated model based on structuring of both deposits and credit assets Why VersaBank? Why Now?
Slide 21: Banking on the Future!
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