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David Park, Founder and CEOFIs have increased the complexity of their technology infrastructure as they add product after product to stay competitive and satisfy customers’ growing expectations. This approach may have solved their immediate need to bring a new product to market but also created complexity of integration and reduced flexibility, which renders the FIs incapable to deliver sophisticated in-demand products that deliver great customer experience and achieve scale.
This bolt on technology strategy required disparate applications from different providers using different technologies, programming languages, and has compromised the functionality of the FIs’ technology stack, resulting in Technology Debt. For many FIs, the net effect of these decisions has increased their operating cost and reduced overall operating efficiency, negatively impacting their ability to continue innovating.
In Moving From The Information To The Digital Age, How Information Moves And Is Processed Is As Important As The Data Itself
The inability to transform easily from a legacy product and branch business model is a result of a lack of unifying vision and architecture of their technology, one in which the customer relationship is key. The branch model is usurped by the ability to offer personalized, and data-driven services that fit into the customers lives to optimize their wealth.
Despite the cost and effort, the FIs’ customers suffer from high friction and redundant user experiences across various products that are less than optimal. The product-based approach to financial services isn’t compatible with the flexibility, extensibility, and nimbleness required to compete with tech savvy and data rich competitors that operate without the legacy Technology Debt.
Many FIs realize the need but do not have the resources to implement the latest technology and business practices.
FTA has discerned that for FIs to achieve their goals, they must run their core in an open-API and data-driven environment, reduce Technology Debt, and maximize customer engagement. The Platform consists of the UniFi Core application with three distinct but unified data model for banking, trust, and wealth management. FTA’s UniFi core and its product applications includes deposits, payments, compliance, card issuance, communication, and financial management, are intuitively designed, cloud-based, and integrated with over 30 fintech partners, that require no code to implement.
A first of its kind, the Platform has been developed specifically for banks and fintech companies who wish to offer embedded finance and Banking-as-a-Service. The UniFi core financial accounts are designed to create multiple sub-financial accounts which allow banks to easily monitor their FinTech partner accounts and their client’s activity for credit risk and to comply with the Bank Secrecy Act (BSA). The UniFi sub-accounts allow customers to manage their assets around a specific goal or objective such as checking, investment, IRA, mortgages, or cards, and unifies the customer financial statement into one financial account for performance and risk.
FIs can earn non-interest income by partnering with one of FTA’s fintech partners on the Platform, without the need to invest heavily in a product such as insurance, corporate retirement, card issuance, and trust services. The Platform allows the FIs to offer their products under their brand and private label for fintech companies and other FIs.
FTA has the security and scalability for FIs and fintech’s of all sizes but excels at supporting SME banks to overcome their legacy challenges. The company has helped clients better integrate with service providers and partners to perform tasks such as debit-credit processing operations and ACH wire transfers, while improving the multiple services they offer to the end customer. Their UniFi platform has enabled clients to cut costs, avoid Technology Debt, fully integrate with modern applications, and, most importantly, improve the front-end user experience.
With such a robust Platform, and many intricate fintech services fueling its reliability, FTA seeks to bolster the productivity of financial institutions everywhere. FTA leaves no stone unturned in its journey to help clients modernize, deliver the best UI/UX, and always stay competitive.
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Company
FinTech Automation
Management
David Park, Founder and CEO
Description
FinTech Automation is a financial technology company which enables the digital transformation of Financial Institutions, Banking as-a-Service, and Embedded Finance. FTA’s UniFi Core is an API and SaaS driven application that unifies banking, wealth management, and trust into a single platform and offers business intelligence, open banking, CRM, digital account opening, and robotic process automation
DALLAS: FinTech Automation (“FTA”) announced today that it will be a provider of enabling financial technology for instant payment services on the FedNowSM Service, which will launch in phases starting in July 2023.
“One of our main goals has been to help banks, credit unions, and ODFIs in launching new embedded finance solutions. The ability to facilitate secure instant payments through the FedNow System will be a real game changer for these financial..."
The FedNow Service is a new instant payment infrastructure that will allow financial institutions of every size to provide safe and efficient instant payment services. Through the service, funds will settle between participating financial institutions instantly, with no buildup of interbank obligations or short-term credit risk.
David Park, Founder and CEO of FinTech Automation said, “One of our main goals has been to help banks, credit unions, and ODFIs in launching new embedded finance solutions. The ability to facilitate secure instant payments through the FedNow System will be a real game changer for these financial institutions. Using our platform, clients will have the ability to deploy this enabling technology quickly without having to touch lines of code.”
The FedNow platform will offer core clearing and settlement capabilities with credit transfers completing in seconds making instant payments available 24x7x365. It also features access to balance information around the clock, along with activity reports available on demand or at end of day. Additionally, financial institutions will be able to settle using their own master account or a correspondent’s master account and includes configurable features for each routing transit number (RTN) enabled, such as the ability to receive customer transfers, send and receive customer transfers, receive requests for payment, support financial institution liquidity management transfers, and support settlement services for other financial institutions.
Financial institutions using the FedNow Service will remain competitive, have the ability to create new financial products, and meet the growing needs of customers. In turn, this will allow financial institutions’ business customers to gain better control of cash flow management, improve efficiency of corporate payments, and streamline their reconciliation processes.
The first release of the FedNow Service will provide baseline functionality that will support a range of functionality, including those account-to-account (A2A) transfers and bill pay.