Open banking and embedded finance platform FutureBank has announced a partnership with leading global issuer-processor Paymentology to provide banks and fintechs with streamlined integration to modern card issuing and processing technology, enabling instant issuance of virtual cards.
Paymentology provides banks, fintechs and telcos with the technology to issue and process any type of physical or virtual card through its multi-cloud platform, offering both shared and dedicated processing instances. The company operates in over 50 countries bringing a deep, local market knowledge across 14 time zones.
FutureBank is an open banking platform and fintech marketplace that helps banks, brands and fintechs integrate new banking and financial service products into their core systems and deploy them at scale with minimal cost and effort.
FutureBank has now joined forces with Paymentology to solve a critical business need in the financial services world. The collaboration of the two companies enables instant issuance of virtual cards even for financial institutions constrained by their core legacy banking systems, offering traditional banks a digital edge and speed without the need for a major replacement.
Instant issuance is a game changer
One of the payment challenges facing banks and fintechs globally is the ability to issue card payment instantly to their customers, individuals and businesses. Today, legacy core banking systems work in batch environments, while modern fintech use cases and user journeys require near real time responses. FutureBank and Paymentology tackle this issue at its source by enabling instant insurance through deep integration of both platforms, allowing for both virtual and physical cards to be available for use immediately upon request. Instant issuance allows financial institutions to print their customers’ payment cards at the time of onboarding and order or display them instantly as virtual cards on a mobile phone.
“The partnership solved an acute pain point. Paymentology’s platform enables instant issuance of tokenised cards, with easily configurable controls, and FutureBank’s integration capabilities into a range of existing core systems enables issuers to accelerate product development velocity in co-existence with their legacy systems. This combination enables even the most legacy of core banking infrastructures to participate in the modern payment ecosystem,” said FutureBank CEO Sergio Barbosa.
Keeping cards top of wallet
“Allowing institutions to instantly produce and activate cards meets the growing expectation of younger and digitally-savvy customers who are used to services on-demand. If customers can open an account on a digital platform in a matter of minutes, why would you make them wait days or sometimes weeks to receive their payment card? Instant issuance is a valuable addition to the customer journey that banks, retailers and MNOs are striving towards. The goal, after all, is to get your customer securely transacting as fast as possible,” Barbosa shares.
“Banks and fintechs globally reach out to Paymentology with a consistent problem statement: They are under pressure to keep up with more agile competitors who are developing products faster and are capturing market share. Examples include payment via mobile phone, wearable payment devices, targeted loyalty programmes and digital onboarding.
The partnership with FutureBank will facilitate digital first product rollouts on top of existing core architecture, reducing cost, complexity and risk on their path to modernisation,” said Paymentology ecosystem partnerships global head David Oppenheim.
The two companies have already tested their partnership on several customers in the Europe, Middle East and Africa region, including the launch of a neobank and the modernisation of an existing legacy bank.
FutureBank and Direct Transact partner for embedded finance in sub-Saharan Africa
Direct Transact, the largest independent provider of banking and payment solutions for banks and brands in South Africa, has teamed up with open banking platform and fintech marketplace FutureBank to accelerate its technology platform capabilities further. The partnership will facilitate the rapid roll-out of embedded finance in sub-Saharan Africa.
Embedded finance is the fintech practice of building financial products or services into non-financial brand customer experiences. It takes collaboration between the brand on whose platform the financial moment is offered, and the financial institutions and fintech partners who enable the financial feature to make it happen. Classic examples of embedded finance include perfectly timed insurance, quick payment solutions, or buy-now-pay-later offers during online checkout.
Launched in 2002, Direct Transact was the first provider of outsourced core banking capabilities and financial services software to more than 70% of South African banks. It currently processes over R40 billion monthly. In addition to being a technology enablement partner to banks, it also helps brands launch financial products and solutions via alliance banking and embedded finance.FutureBank specialises in providing great abstraction layers to banks and financial technology companies
FutureBank, meanwhile, is an open banking platform and fintech marketplace that helps banks, brands and fintechs globally integrate new banking and financial service products into their core systems and deploy them at scale with minimal cost and effort.
“Direct Transact believes modern and intelligent banking should be able to plug in and configure composable solutions from exciting third parties who bring new user-friendly elements to the banking experience. FutureBank is a niche fintech company that helps us further enhance our existing capabilities,” said Direct Transact chief commercial officer Christo Davel.
“FutureBank specialises in providing great abstraction layers to banks and financial technology companies. Their technology speeds up and simplifies fintech integrations between banks and third-party fintech partners. Thanks to our partnership, Direct Transact’s interface layer is now even simpler, allowing faster connection.”
Primed for growth
Direct Transact’s work with FutureBank has ideally positioned the company to address the rapidly growing embedded finance market in sub-Saharan Africa. The latest collaboration between the two companies builds on an established relationship and a shared vision for regional innovation and growth.
Accenture analysis has shown that embedded finance for the small and medium-sized business sector is set to boom and could capture up to 26% ($32 billion) of the global SME banking revenue by 2025.
“Embedded finance epitomises the collaborative innovation that African organisations thrive on. It allows multiple players to combine their strengths, allowing a whole new generation of nimble new players to leverage the foundations of established banks to reach new customers with relevant products and services.
“The partnership between Direct Transact and FutureBank will facilitate the rapid growth of embedded finance offerings, helping companies reach the scale they need to ensure sustainable growth,” said Sergio Barbosa, Global Kinetic enterprise software development house CIO and CEO of its open banking platform, FutureBank.
However, without the necessary technical expertise, delivering embedded finance services is not simple.
“To seamlessly embed financial capabilities is technically complex, made more difficult by many banks’ rigid legacy systems. While secure and compliant, Direct Transact’s systems and technology are flexible. And, after our deployment with FutureBank, Direct Transact can rapidly offer more of its capabilities within its customers’ existing technology stacks. This means banks, payment providers and brands can rapidly design and launch new and exciting embedded finance offerings to their clients – solving today’s strategic and client needs and building tomorrow’s solutions today,” Davel said.
The nature of the partnership between FutureBank and Direct Transact promises a bright future for both organisations when it comes to embedded finance in the sub-Saharan region.
“Compatibility with Direct Transact’s core banking capabilities enables us to offer additional capabilities around core banking in the sub-Saharan market. Our partner network is extensive and can benefit from our interoperability and partnership with Direct Transact as the leading core banking provider in the region,” Barbosa said.
The partnership also means FutureBank can offer Direct Transact’s robust, comprehensive core banking capabilities to their clients, who are notable players in the global fintech ecosystem. It’s a match made in fintech heaven,” Davel said.
TechCentral: https://techcentral.co.za/direct-transact-futurebank-embedded-kinpr/236392/ [05 Dec 2023]
FutureBank and IDVerse Partner to Fight Cybercrimes
IDVerse is the premier ID verification service on the FutureBank platform, providing quick and secure digital identity verification (IDV) services to its banking customers.
Through this partnership, new FutureBank customers can access the IDVerse software as part of its offering, while IDVerse customers looking for a middleware platform can use the benefits of the FutureBank platform.
Generative AI is breeding different fraud types, and cybercrime is predicted to become the biggest economy in the world in the next 18 months. FutureBank and IDVerse have joined forces to keep their customers safe from these unwanted attacks and manual bias.
London, UK – 5 September 2023 – The customisable and compliant embedded finance platform, FutureBank, has partnered with world-leading digital ID verification company IDVerse (previously known as OCR Labs Global) to further its digital transformation and accelerate customer onboarding through swift and secure digital identity verification (IDV).
Through this partnership, new FutureBank customers can access the IDVerse software as part of its offering. IDVerse customers looking for a middleware platform can connect their API credentials to benefit from FutureBank’s platform.
Bank technology is clunky and rigid, and it needs forward-thinking technology partners to stay up to date. Middleware platforms offer technological flexibility that banks and fintechs can’t build themselves, thus preventing downstream fraud and supporting the full customer journey.
FutureBank is an integration platform for core banking providers that embeds finance services. It acts as the glue between a bank and a third-party provider they want to integrate with. It helps banks and fintechs launch new products better, faster and more securely.
IDVerse is the most certified Identity Service Provider (IDSP), with 20 certifications for the Right to Work, Right to Rent and Disclosure and Barring Service (DBS) from the United Kingdom’s Digital Identity & Attributes Trust Framework (DIATF).
Through its Zero Bias AI™ tested technology, IDVerse is pioneering the use of generative AI to train deep neural network systems to protect against discrimination on the basis of race, age and gender.
Sergio Barbosa, CEO at FutureBank, said, “Generative AI is breeding many different fraud types. With ChatGPT, fraudsters can create very authentic documents and profiles for people at a low cost. We were impressed by IDVerse’s capability to stop fake IDs from making their way through the system and its fully automated approach that works better than humans.”
Barbosa continued, “Cybercrime is currently the third biggest economy in the world, and predictions show that in the next 18 months, it will be the biggest economy in the world. We are delighted to partner with IDVerse to protect our customers from unwanted attacks.”
Russ Cohn, General Manager EMEA at IDVerse, added, “It is already very easy to create a realistic fake person in as little as 15 minutes using online tools readily available on the internet. Synthetic media is becoming the new tool of choice for fraudsters looking to make money. We estimate that there is a 400 percent year-on-year increase in the use of deepfakes in creating fake identities.”
Cohn continues, “Our fully automated identity verification system can offer FutureBank customers a reliable solution to spot deepfake accounts that fraudsters are increasingly trying to create. IDVerse’s cutting-edge technology maps the facial genome and can detect below-the-skin activities, such as a heartbeat changing the colour of the skin, which the human eye cannot see. These natural yet invisible patterns from faces help verify that an image is of a real human, not a deepfake.”