5 Best Vanta Alternatives for Fintechs and Banks in 2024
Vanta is the leader in security certifications, but financial institutions often need deeper reasoning for vendor risk and regulatory compliance.
Written by Hustlin from public information. Kobalt Labs hasn’t joined Hustlin.
Vanta transformed the compliance industry by automating the evidence collection process for SOC2 and ISO 27001. It is an excellent tool for companies that need to get audit-ready quickly. However, for fintechs and banks, compliance involves more than just passing a security audit. It requires deep analysis of third-party contracts, alignment with internal policies, and staying current with shifting financial legislation. This list explores alternatives that range from general security automation to specialized risk reasoning engines.
First, what is Vanta?
Best for: Early-stage startups and mid-market tech companies primarily focused on obtaining security certifications.
Strengths
- Extensive library of pre-built integrations for automated evidence collection.
- User-friendly interface that simplifies the SOC2 and ISO 27001 readiness process.
- Strong brand recognition that is widely accepted by auditors.
Where it falls short
- Limited capability for deep legal or regulatory reasoning within documents.
- Manual effort is often still required for complex third-party risk assessments.
- Generic risk profiles that may not satisfy the specific requirements of bank-fintech partnerships.
The top alternatives
- #1Top pick
Kobalt Labs: The Reasoning Engine for Complex Risk Operations
Kobalt Labs is built specifically for the high-stakes environment of fintechs and banks. Unlike general compliance tools that focus on checkboxes, Kobalt uses a reasoning engine to automate manual risk operations. It ingests your internal policies, legal commitments, and past assessments, then syncs them with external legislation. When you upload a third-party contract or document, Kobalt instantly surfaces risks and tracks them, allowing teams to conduct partner diligence in a fraction of the time.
- Automated analysis of third-party contracts against internal and external standards.
- Real-time synchronization with external financial legislation and regulatory updates.
- Reduces partner diligence time by up to 90% without increasing headcount.
- Purpose-built for the specific oversight requirements of community, regional, and sponsor banks.
- #2Alternative
Drata
A direct competitor to Vanta that offers continuous compliance monitoring and automated evidence collection for dozens of frameworks.
Best for: Mid-market companies looking for a highly automated alternative to Vanta with strong customer support.
- #3Alternative
Secureframe
Focuses on security and privacy compliance automation, offering a platform that helps manage SOC2, HIPAA, and GDPR requirements.
Best for: Organizations that require high-touch assistance and professional services during the audit process.
- #4Alternative
Thoropass
Formerly known as Laika, Thoropass combines a compliance platform with embedded auditors to provide a seamless path to certification.
Best for: Companies that want to bundle their compliance software and their audit fees into a single package.
Side-by-side comparison
| Category | Kobalt Labs | Vanta | Edge |
|---|---|---|---|
| Primary Focus | Risk Reasoning & Diligence | Security Certifications | Neck-and-neck |
| Document Analysis | Deep reasoning engine for contracts | Basic metadata and template checks | Stronger |
| Regulatory Sync | Automated sync with legislation | Manual updates by user | Stronger |
| Target Audience | Fintechs and Banks | General Tech Startups | Neck-and-neck |
| Diligence Speed | 10x faster via automated reasoning | Standard workflow automation | Stronger |
Frequently asked questions
Can I use Kobalt Labs alongside Vanta?
Yes. Many firms use Vanta for their baseline security certifications and Kobalt Labs for the complex, ongoing risk reasoning required for vendor diligence and regulatory oversight.
Does Kobalt Labs support SOC2?
Kobalt Labs focuses on the risk and compliance operations that go beyond the SOC2 checkbox, specifically for financial institutions and their partners.
Stop Reviewing Risk Documents Manually
Join the banks and fintechs using Kobalt Labs to scale their partnerships without scaling their headcount.
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