Security and Compliance
PR Newswire | October 18, 2023
Jack Henry™ (Nasdaq: JKHY) announced today that it is redefining fraud prevention with the initial roll out of Jack Henry Financial Crimes Defender™, a cloud-native fraud and anti-money laundering (AML) solution designed with real-time capabilities at the forefront. This new solution allows community and regional financial institutions to proactively combat financial crimes across channels.
Financial Crimes Defender is part of Jack Henry's technology modernization strategy, focused on delivering cloud-native solutions that help banks and credit unions innovate faster, differentiate strategically, and meet the evolving needs of their accountholders. The platform is built on the public cloud, allowing for real-time data, more accurate reporting, open integrations, speed, and agility.
New York-based Carver Federal Savings Bank is among the first financial institutions to implement the solution. "Jack Henry's Financial Crimes Defender positions us well against the rising threat of fraud; it allows us to offer a secure and smooth banking experience for our customers," said Patrick Brennan, VP of information technology at the bank. "It's seamless integration, user-friendly design and real-time, AI-powered fraud detection will help us operate more efficiently and improve our fraud detection rate to keep our customers and their money safe. Our staff can now make faster and smarter decisions and better combat financial crimes and minimize risk."
Financial Crimes Defender provides real-time detection and prevention of fraud involving checks, deposits, transfers, ACH transactions, and instant payments. Financial institutions can stop transactions before they leave the institution or appear in the clients' accounts. Plus, its open architecture allows for the seamless integration of third-party data into the platform, improving overall fraud management for financial institutions across all relationships.
This AI-powered solution bundles fraud and AML solutions to help financial institutions of all sizes make faster and more informed risk decisions, minimize false positives and wasted resources, improve operational efficiency, and ensure more effective fraud monitoring and reporting for Bank Secrecy Act (BSA) compliance. Moreover, its real-time data and behavioral analytics enables secure transactions and enhanced trust.
In order to fight fraud with more data, financial institutions can access a central repository of fraudulent activity using the Federal Reserve's FraudClassifier, built natively into the solution. FraudClassifier addresses the industry-wide challenge of inconsistent classifications for fraud involving ACH, wire, or check payments.
Fighting fraud with real-time data is the equivalent of catching an intruder at the front door, before they get into the house, says Matt Riley, president of Complementary Solutions at Jack Henry. Financial Crimes Defender lets financial institutions detect and prevent fraud at first sight, ensuring assets and information remain within the institution. This is a game-changer for community banks and credit unions.
PR Newswire | October 19, 2023
Alloy, the identity risk management company, is expanding its credit underwriting capabilities to support banks, fintechs, and other builders of financial products in managing their holistic credit risk. In a challenging macro-environment, Alloy enables lenders to make smarter credit decisions, capture default risk, and increase revenue by identifying upsell and cross-sell opportunities. Alloy also automates credit line management and product remarketing, helping lenders maintain appropriate credit limits and proactively extend new product offers to customers.
Lenders rely on Alloy's established credit underwriting capabilities to offer credit products to more people with less risk. Alloy allows lenders to automate their credit decisions using identity data gathered during onboarding, credit bureau data, and alternative underwriting data. Lenders can make credit decisions using custom models, building anything from basic workflows to complex matrix models right within Alloy.
Alloy's updated credit offering builds upon these existing capabilities to offer a comprehensive and proactive approach to credit management beyond origination, enabling banks and fintechs to monitor for credit risk throughout the customer lifecycle. New features include:
Automated, scheduled checks using the richest set of credit signals to monitor the ongoing financial health of borrowers: Lenders can incorporate fresh data pulls into their decisioning from a wide range of third party data sources: including credit bureau data, alternative underwriting data, and their own proprietary data. This comprehensive approach enables lenders to build a more complete picture of a borrower's creditworthiness and potential risks and carry out more data-driven decisions.
Real-time alerts sent to lenders to notify them about changes in a borrower's risk (e.g. if a borrower declares bankruptcy): Lenders can then take proactive measures to prevent the accumulation of high-risk loans.
Automated line management: Lenders can maintain appropriate credit limits and terms through continuous monitoring to determine if customers qualify for a credit line change based on behavior and automatically conduct line adjustments.
Automated credit remarketing process: Lenders can monitor positive customer behaviors like timely repayments and salary increases and can offer good customers new products, ultimately increasing their company revenue.
Historically, lenders have had to rely on point-in-time, siloed information about their borrowers, said Parilee Wang, Chief Product Officer at Alloy. With Alloy, lenders have a holistic solution for building a more complete picture of a borrower's ongoing creditworthiness and potential risks.
Alloy's product investment in the credit space comes as U.S. consumer credit card debt has topped $1 trillion for the first time in history. As many borrowers face increased financial strain impacting their ability to repay debts, lenders may be forced to make difficult decisions about the creditworthiness of their applicants. At the same time, as revolving credit usage grows and consumers demand personalized, seamless experiences from their financial institutions, lenders are challenged with remaining top of wallet and staying ahead of competitors.
"We were so excited to find a credit underwriting solution that lets us proactively manage our credit risk and allows us to rely on automated decisioning," said Bobby Parker, Head of Credit at PEX Card. "The configurable platform allows us to be nimble, and we can make critical underwriting changes quickly with the appropriate controls in place. Furthermore, with the A/B test feature, and pre-built integrations with salient data providers, we can ensure our decisions are driven by data and information gain. Leaning on this solution will give us the ability to prudently grow our portfolio while driving strong risk adjusted returns."
"We knew building our platform would require us to partner with best-in-class fraud prevention, compliance, and credit decisioning capabilities," said David Anderson, Co-Founder and CPO at Tandym, a consumer credit card issuer and Alloy client. "We wanted a solution that was flexible, easy to use, pre-baked with integrations, and that made adding new data sources and making changes to our policy simple and seamless. Using Alloy's Identity Risk Solution for credit underwriting provided us with the tools to create more complex configurations to deliver better and more tailored results."
Alloy offers the broadest coverage of third-party data in the industry with more than 190 data sources, including credit bureaus and alternative credit data providers. Some of Alloy's partners in the credit space include:
Alloy solves the identity risk problem for companies that offer financial products. Today, nearly 500 banks and fintechs turn to Alloy's end-to-end identity risk management platform to take control of fraud, credit, and compliance risk, and grow with confidence. Founded in 2015, Alloy is powering the delivery of great financial products to more customers around the world. Learn more at alloy.com.
Finvi | October 13, 2023
Finvi has officially disclosed the integration of its Finvi Payments solution into the Artiva RM platform. This cohesive, comprehensive solution will help accounts receivable management (ARM) departments bridge the divide between their fundamental operational systems and payment platforms.
Finvi Payments empowers agencies to enhance revenue recovery by offering uninterrupted payment plans, eliminating the need for manual reversals, and simplifying reconciliation challenges.
Dan Ward, Vice President, Payments Commercialization at Finvi said, "This strategic union of our two world-class products fulfills the implicit promise of what it means to have payments and a core application underneath the same umbrella."
[Source – Cision PR Newswire]
Dan Ward emphasized that this increase in development speed, made possible by the seamless closing of the gap between the two, not only enables the quicker provision of features and functionality but also frees up resources for more innovative, value-added projects, reducing the need for people to spend excessive amounts of time on pointless tasks and allowing them to provide value to the agency in a variety of ways.
Finvi Payments' industry-leading solution has three essential parts: Account Updater, which checks and updates card information automatically without the customer's help; Automatic Payment Reversals, which keep Artiva RM up to date in case of payment returns; and an Advanced Payments Reconciliation Report, which speeds up the reconciliation process by showing when payments clear and how much money each client has so that employees can focus on new accounts.
Finvi has been a leading provider of enterprise technologies that streamline and expedite revenue recovery for clients in healthcare, government, accounts receivable management, and financial institutions for over 40 years. Process automation and modern tools for communication and payments that focus on compliance are used to develop creative solutions based on a service- and innovation-centered approach that puts people first. This empowers thousands of clients to generate more significant revenue at reduced costs, facilitating the achievement of their business goals through effective engagement with those who pay.