Empowering Your Bank with FedNow: Insights from Money 20/20 

Nov 12, 2023 Hunter Croft
Online Banking Transaction

One of the hot topics at the October Money 20/20 conference in Las Vegas was the impact of FedNow on banks, credit unions and financial service organizations. FedNow is a real-time payment and settlement service introduced by the Federal Reserve with the goal of modernizing the U.S. payment infrastructure

How ACT Can Empower Banks and Credit Unions in the Era of Real-Time Payments

The financial landscape in the United States is undergoing a significant transformation with the introduction of FedNow, the Federal Reserve’s real-time payment system. For banks and credit unions, this means a new era of opportunity and competition. To thrive in this fast-paced environment, many financial institutions are turning to ACT to leverage our expertise and resources.   

1. Implementing FedNow Capabilities: Adopting the FedNow system requires a seamless integration process that can be challenging for many financial institutions. ACT provides the technical know-how to streamline the integration with many 3rd party systems, including the types of capabilities required by FedNow. We ensure that banks and credit unions have the infrastructure in place to participate fully in the real-time payment ecosystem. 

2. Fraud Detection and Prevention: Real-time payments come with their own set of challenges when it comes to fraud. ACT offers advanced fraud detection and prevention services, compliance expertise, advanced technologies and tools, customizable solutions, data security and industry expertise to safeguard transactions and maintain the security of financial institutions. Our expertise in identifying suspicious activities helps protect both banks and credit unions and their customers.  

3. Customer Support: In the era of real-time payments, customer support is more critical than ever. ACT can offer customer service solutions that provide round-the-clock support to handle inquiries, resolve issues, and ensure a smooth customer experience. Our Total Experience Formula™ takes into account all touch points, policies and technologies impacting the customer experience. In fact, ACT has mapped 248 separate employee touchpoints that directly affect the customer experience. This allows us to not only find and eliminate friction within the customer experience, but it also provides for happier customers. This level of support can make a substantial difference in retaining and attracting customers. 

4. Compliance and Risk Management: FedNow comes with its own set of compliance and risk management requirements. ACT looks at compliance using our Total Experience Formula™.  With this, we comprehensively explore every touch point, process, and tool to identify and remove potential compliance violations and process friction points that hinder turnaround time. It is common among larger clients to retain several BPO companies simultaneously to meet their compliance and FDP needs.  Consistently, ACT surpasses the performance of other BPO providers, and in many cases, we surpass the performance of their in-house FDP teams. And this is not an occasional occurrence. With many of our banking clients, our performance exceeds other BPOs for upwards of 26 consecutive months.   

In Conclusion: The introduction of FedNow is a game-changer for the banking industry. To succeed in this new era of real-time payments, banks and credit unions are turning to ACT for support. Our services empower financial institutions to embrace the opportunities presented by FedNow while effectively managing challenges such as fraud, compliance, and customer service. As the financial landscape continues to evolve, BPO partnerships are becoming a strategic advantage for banks and credit unions.

Looking for more information on customer experience solutions for banks, credit unions, and financial service organizations? Check out our Total Experience Solutions for Banking and Financial Services >

   

About ACT:  ACT is an employee owned, U.S.-based business process outsourcing provider and global leader in customer care. Our approach is founded on a winning formula – that the best solutions integrate Employee Experience (EX) + Customer Experience (CX) + User Experience (UX) + Digital Experience (DX) + Multi-experience (MX) for an outstanding Total Experience (TX) overall. As a 100% employee-owned company, we have placed Employee Experience at the center of our business strategy because we know that engaged employees ensure the best customer outcomes. As shareholders in the business, our Employee Owners have a personal interest in delivering value to our clients, and their motivations are uniquely aligned to our clients’ success. 

With 27 years’ experience and nearly one-third of the largest banks as clients, ACT offers the operational expertise, technologies and best practices that you expect from a world-class Business Process Outsourcer, combined with the innovative solutions, flexibility and individual attention that you can only get from a 100% employee-owned company. Founded in 1997, ACT has helped organizations quickly respond to rapidly changing competitive, business and compliance environments, anticipate and scale for future needs, outmaneuver their competition, lower operating costs, improve efficiencies, drive revenue and increase customer engagement.

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