Building real-time business case for smaller banks

21 November 2016 36,694 1 comment

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

Leo Lipis, Managing Director of Lipis Advisors and Tom Hay, Head of Payments at Icon Solutions, discuss the findings of recent research into the challenges and opportunities for small and medium sized banks of connecting to instant payment systems, and explore options for smaller players to achieve their real-time goals via more cost-effective routes.

Related Company

Channels

/regulation & compliance /sibos /retail banking /security /financial inclusion /payments /wholesale banking /start ups

Keywords

blockchain cards innovation post-trade & ops trade execution transaction banking

Comments: (1)

A Finextra member

21 November 2016

Good points around the cost for securing access. A few additional points for consideration:

If a bank needs low risk, low cost, simple access to Faster Payments then aggregator services are the best way to go, be that the UK model or other multi-tenant / processor service offerings being planned in other countries. There are plenty of proven solutions being offered by proven providers and cost models can be aligned with revenue capture for a bank.
Technology solution costs are not the only ones to consider. Sponsorship or gaining access to a clearing & settlement account in most countries will likely be required and may not be in place already for smaller banks. Hopefully something the BoE is fixing asap for the UK market and I'm sure others will follow.

Report