Carola Paschola

LGT Private Banking will implement Finastra’s payment hub using a MODEL BANK implementation approach, to ACCELERATE its readiness to meet the EU instant payments regulatory timeline 🚀 🏦 📈 By uncoupling payment processing from its core banking platform and implementing Finastra’s FUTURE-PROFF solution, LGT will ALSO now be able to meet the anticipated growth in instant payment volumes while providing the required 24/7 service availability. 👨‍⚖️ 💸 Once implemented, the bank can EASILY adopt other regulatory schemes, such as #SIC5IP in Switzerland, and embrace ongoing modernization, innovation AND growth. 👨‍💻 “Many institutions need to urgently assess whether their current payment processing environment can support the expected increase in volumes and the need to operate 24/7,” said Neil Macro, Vice President, Managing Director – EMEA mid-markets, Payments at Finastra. “This has been a huge priority for us at Finastra; ensuring that banks are fit for the future with our sophisticated payment hubs, including with the option to pay as you grow. Underpinned by open architecture, APIs and our partner ecosystem, our solutions enable banks like LGT to innovate at speed, boost risk management and deliver enhanced services to end-users. For example, the bank can seamlessly implement new functionality to strengthen its instant payments offering, such as Verification of Payee and real-time sanctions screening. We look forward to supporting LGT on further developing its payments services.” Read more on the link below! 👇 Bernhard Strauch #finastra #digitalpayments #instantpayments #regulatorycompliance #payments #privatebanking #fintech #fintechnews

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One to watch: #wero / #EPI has launched 🇩🇪 - noting that few pan-European payment projects succeed. Some of the raw ingredients are there though: ✅ Own your own infra (#iDEAL 🇳🇱 and Payconiq International 🇱🇺) ✅ Start with person-to-person (#P2P) to build a brand and trust (cf. M-PESA Africa 🇰🇪 , Swish 🇸🇪 etc.) But embedding the #wallet within existing bank apps, rather than launch a new app? That strikes me as a costly mistake: ❌ No strategic control over service evolution (cf. #PayM 🇬🇧 🪦) ❌ Your new brand is secondary, if visible at all (cf. #MasterPass 🌎 🪦 ) Which is why I like the approach taken by (and so have invested in) TABBx and their app https://TABBit.uk - an open-loop, free-to-use service for P2P payments using #OpenBanking - in line with conclusion 5 of the Future of Payments Review by Joe Garner. Bottom line: they own their brand, it works with every bank, and you don't have to sign up to the TABBit app to pay someone back (no friction to use and adoption) #fintech #payments #startup #angel #venturecapital #request2pay #R2P #Account2Account #A2A https://lnkd.in/eYs2ZpYv

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N26, a Berlin-based banking startup, faced regulatory scrutiny from BaFin, resulting in a cap on new customer signups in 2021. This cap, initially set at 50,000 customers per month and later increased to 60,000, will be lifted on June 1, 2024. N26 incurred a €9.2 million fine for reporting shortcomings in 2022 and has invested €100 million in compliance improvements. The company has added savings accounts, loans, crypto and stock trading, and insurance products to its offerings. N26 reported a €100 million loss in 2023 and expects to achieve monthly profitability in the second half of 2024. For the latest secondary coverage and trading SaxonWeber | ShareWell #secondaries #saxonweber

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EPI launches Wero wallet in Germany The European Payments Initiative (EPI) has launched its mobile-first wallet and instant account-to-account payments system in Germany, with other counties set to follow in the coming months. German Sparkassen and Volksbanken, Raiffeisenbanken customers can now make instant money transfers from account to account between individuals, via their banking app. Deutsche Bank will launch wero later this year, starting with Postbank. Wero enables mobile payments from one phone to another. Unlike traditional transfers, Wero users do not need the recipient's 22-digit account number (IBAN). Instead, a mobile phone number or email address can be used for real-time money transfers. Next year, Wero will get the ability to pay any small professional from the wallet, and also pay merchants online and upon invoices via QR code. This includes the ability for consumers to manage recurring payments for subscriptions or installments, but also to pay in merchant apps at point of sale without going through the cashier. In-store payments at the cash register will also be added in 2026, along with other capabilities, such as BNPL, merchant loyalty, programme integration and expense sharing. https://lnkd.in/ev3nH8_Z

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What the Finternet? - The Bank of International Settlements (BIS), the guys who create the Basel rules and control much of the way the global banking system works, released a paper the other day about the Finternet: “the financial system for the future”. The idea is that all of the financial world will connect through https://lnkd.in/eEjy8ZYH

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EBA CLEARING announced today the publication of the user specifications for its Verification of Payee solution. The specifications are based on the proposal of the European Payments Council’s VOP Scheme Rulebook. The solution will leverage building blocks of its recently launched Fraud Pattern and Anomaly Detection (FPAD) functionality to provide a comprehensive IBAN/name matching solution with a broad reach across SEPA starting from December 2024. The delivery will be completed 10 months before the October 2025 deadline set by the Instant Payments Regulation, when the obligation for payment service providers (PSPs) in the eurozone to provide a Verification of Payee service to their customers will come into force. FPAD is an integral part of the pan-European retail payment systems STEP2 and RT1 and has been available since March 2024. FPAD provides the users of both services with a wide range of real-time fraud prevention and detection tools. The functionality already allows PSPs to conduct beneficiary name verifications before a payment is sent. With the December 2024 delivery, this functionality will be enriched with the EPC VOP Rulebook requirements. https://lnkd.in/gcTGvTUj Workflow: ECB #payments #fraud #banking

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Bitpanda will leverage Solaris SE full digital and scalable KYC solution Bankident to identify customers in Germany. This signals an exciting new chapter in a longstanding partnership between Solaris & Bitpanda, with Solaris already acting as issuer and processor for Bitpanda’s debit card programme across the European Economic Area. "We are proud to be providing our market-leading identification method for Bitpanda. Through using Bankident, Bitpanda will benefit from a secure and compliant solution that enables its customers to seamlessly identify themselves within seconds, which in turn helps to increase conversion rates. Providing scalability to partners is at the heart of Solaris, as we support Bitpanda in its growth journey, " said Joerg Diewald, Chief Commercial Officer at Solaris. "To enable our customers to start trading within minutes, we strive to consistently provide a secure, compliant, seamless, and accessible experience when creating and opening their Bitpanda account, regardless of the market. Solaris’s Bankident KYC solution empowers us to achieve this goal in Germany. We are excited to extend our partnership with Solaris," has said Maik Brodowski, Commercial lead Germany at Bitpanda. Source: https://lnkd.in/etr7T_HD Sign up for more news updates like this in our daily newsletter: https://lnkd.in/eskQx7Ym #fintech #fintechindustry #kyc #id #trading #fintechinnovation #financialtechnology #financialservices #financialsolutions #fintechnews

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🔔 Enhancing Cross-Border Payments: FSB's New Recommendations 🔔 📅 16 July 2024 | Basel, Switzerland The Financial Stability Board (FSB) has launched a public consultation on key recommendations aimed at improving the efficiency and consistency of cross-border payments. These proposals target reducing frictions in data flows and harmonizing the regulatory landscape for both bank and non-bank payment service providers (PSPs). ✅Key Highlights:    📌Addressing Data Frictions: 💡        📈The FSB's recommendations focus on aligning data frameworks to improve the cost, speed, transparency, and accessibility of cross-border payments while ensuring safety and privacy.        📈Proposed establishment of a cross-sectoral forum to foster collaboration on data issues.    📌Level Playing Field for PSPs: ⚖️        📈Advancements in technology have diversified the cross-border payments landscape, necessitating updated regulatory and supervisory frameworks.        📈Recommendations aim to harmonize the treatment of banks and non-bank PSPs, reducing regulatory arbitrage and promoting a consistent approach.    📌Public Consultation: 🗣️        The FSB invites comments on these proposals by 9 September 2024, emphasizing the importance of private-sector participation. ✅Context: 📈The G20 has prioritized the enhancement of cross-border payments, targeting faster, cheaper, and more transparent transactions. The FSB's initiatives align with this goal, building on the 2020 Roadmap and recent endorsements by G20 Finance Ministers and Central Bank Governors. ✅Next Steps: 📈Stakeholders are encouraged to provide feedback to shape the final recommendations, ensuring they meet the global objectives of improved cross-border payment systems. 📧 For more details or to submit comments, contact the FSB at press@fsb.org. #CrossBorderPayments #FSB #FinancialStability #Regulation #FinTech #Banking #G20 #DataPrivacy #PaymentInnovation #GlobalEconomy Stay informed on the latest in financial regulation and innovation by following our updates.

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The Difference Between Correspondent, Intermediary and Beneficiary Banks Whether you're a business with global ties or an individual seeking clarity on international payments, it's important to understand the roles of Correspondent, Intermediary, and Beneficiary Banks. These three entities are central to global transactions. By knowing their specific functions and the processes that lie behind international payments, you'll be better equipped to make informed financial decisions. What is Correspondent Banking? Correspondent banking is a partnership between two banks, often from different countries, where one bank provides services on behalf of another bank. In this arrangement, the bank offering the services is called the "correspondent bank," while the bank receiving them is the "respondent bank." What is a Intermediary Bank? An intermediary bank serves as a link between the originating bank (where the transaction starts) and the beneficiary bank (where the transaction is meant to end). It plays a vital role, especially when the two banks conducting business don't have a direct relationship with each other. What is a Beneficiary Bank? A beneficiary bank is a financial institution where the intended recipient of a funds transfer holds a bank account. It's where the money is destined to go in financial transactions. In banking terms, the beneficiary refers to the individual or entity that is the end recipient of the funds. In the intricate realm of international banking, correspondent banks and intermediary banks play indispensable roles, especially when navigating cross-border transfers. Correspondent banks typically work as a representative for another financial institution, often stepping in when that institution lacks a foothold in a specific region. Their primary role is to simplify international money movements, holding funds and directly executing transactions for other financial institutions they represent. For instance, a bank in the US might leverage its correspondent banking relationship with a UK bank to facilitate USD-denominated transfers between the two nations. Conversely, the intermediary banks emerge as a third party, a bridge when the originating and beneficiary bank don't share a direct link. Acting as the middleman in the financial chain, they ensure funds travel securely and reach their intended endpoint, even in scenarios where multiple stopovers are necessary due to the absence of direct banking relationships. An example could be a small regional bank needing assistance from larger banks to process an international transfer.

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Some quick thoughts on FIS launching a Banking as a Service proposition Core banking and payments provider FIS announced their “banking as a service” offering for banks called Atelio. Pitched as a way for banks and developers to have building blocks for launch innovative new financial services, the launch follows the acquisition of Bond in June of last year. KeyBank, College Ave and RoyalPay are “lighthouse clients” and FIS cited S&P data that “median sequential growth rate of (of deposits) 2.2% for banks, versus a decline of 0.8% for banks that did not” 🧠 The embedded finance business case remains a no-brainer. Smaller banks absolutely need a way to win deposits, and as US Bancorp results show, embedded finance is an effective way to achieve that with high RoE. 🧠 FIS has a distribution advantage. FIS has an estimated 9% market share of smaller banks (Kansas Fed) and a 16% share of all banks in the US (S&P). Smaller banks rely almost entirely on their core provider for technology, and have the greatest need for attracting deposits. 🧠 A distribution advantage is no guarantee of success. Bond was acquired for an undisclosed sum which suggests it did not have the most revenue at acquisition. Large companies like FIS have numerous products on the shelf, and various sales teams are trying to get them into the core provider. 🧠 Embedded Finance is becoming mainstream. Nearly ever large bank will have a running embedded finance team in the coming 18 months. This isn’t a trend going away despite the regulatory pressure. If anything, the opposite. It’s gaining momentum as more providers see an opportunity to solve problems. #fintech #banking #embeddedfinance

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Shift4 enters the German market by acquiring Vectron Shift4, the US-based, payments and commerce technology company announced on Friday to enter into a share purchase agreement of Vectron Systems, one of the leading European manufacturers of ECR systems. Shift 4 and Vectron also entered into a Business Combination Agreement to fully integrate Vectron into Shift4, to delist Vectron shares from the Stock Exchange and that Vectron is to distribute Shift4's payment services in Germany. Shift4 has declared its willingness to support the further growth of Vectron through operational and financial resources. The Management and Supervisory Board of Vectron welcome the attractive offer and fully support the takeover offer. This transaction will undoubtedly bring a new market dynamic into the German market and underlines the fact that ECR systems, business tools and payment are increasingly growing together as integrated solutions - a strategy that leading US players, like: Shift4, Square, Clover, Toast and others have been pursuing very successfully for the last years. https://lnkd.in/es7tnR-E

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🌍 𝐈𝐍𝐆 𝐜𝐮𝐬𝐭𝐨𝐦𝐞𝐫𝐬 𝐜𝐚𝐧 𝐧𝐨𝐰 𝐜𝐡𝐞𝐜𝐤 𝐂𝐎2 𝐞𝐦𝐢𝐬𝐬𝐢𝐨𝐧𝐬 𝐨𝐟 𝐭𝐡𝐞𝐢𝐫 𝐞𝐱𝐩𝐞𝐧𝐬𝐞𝐬 🌱 ING has launched 𝐅𝐨𝐨𝐭𝐩𝐫𝐢𝐧𝐭 𝐈𝐧𝐬𝐢𝐠𝐡𝐭, now available for all Dutch private customers in their mobile banking app! Originally piloted with 500k users, this feature allows customers to: 🔸 See the CO2 emissions of their expenses 🔸 Get tips to reduce their carbon footprint 🔸 Compare their emissions to the national average Developed with Cogo, Footprint Insight helps users understand and reduce their environmental impact. Click here for more info, https://lnkd.in/grn38p8v #Sustainability #GreenFinance #ING Ben Gleisner _

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🇩🇪 German banks are to call time on what was once envisaged as a home grown challenger to PayPal, giropay. 💰 German banks and Sparkassen have invested "hundreds of millions" into this first generation Pay-by-Bank player over the course of nearly a decade, but it has not been widely adopted by consumers or merchants, and according to reports from the Süddeutsche Zeitung and Finanz-Szene, its already modest share of checkout has declined further in recent months. 👋 Auf Wiedersehen, once its fully confirmed. The good news...a new generation of A2A / Pay-by-Bank players are available. https://lnkd.in/dQywbyr9

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Banks utilize various quantitative liquidity measures to ensure and monitor their liquidity adequacy, as no single measure can provide a complete view. Regulatory bodies like the Office of the Superintendent of Financial Institutions (OSFI) mandate banks to report these measures to assess their liquidity status. Key liquidity metrics monitored by OSFI include the Liquidity Coverage Ratio (LCR), Net Stable Funding Ratio (NSFR), Net Cumulative Cash Flow (NCCF), and the Operating Cash Flow Statement (OCFS). Additionally, banks use various intraday liquidity monitoring tools. Collectively, these metrics provide a comprehensive assessment of a bank's liquidity adequacy. Check out our white paper for more information or check out our website.

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Big shift in the digital payments landscape as EPI arriving! 💳🚀 German banks are discontinuing Giropay (founded in 2015 by Commerzbank, Deutsche Bank, and others to fight PayPal) and shifting focus to the European Payment Initiative's new wallet, "Wero." 💼💶 Set to launch in late June, Wero aims to rival PayPal and other giants in online transactions. 🌐📱 With enhanced security features 🔒, seamless integration 🔗, and a unified European approach 🌍, Wero is poised to revolutionize the market. Is this the dawn of a new era in European digital payments? 💼💶 Read more about this strategic pivot and what it means for the market: https://lnkd.in/duJCywSK #FinTech #DigitalPayments #EPI #Wero #BankingInnovation #DeutscheBank #CommerzBank #PayPal #Giropay

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How does PayLead ensure eligible transactions are rewarded just once, despite the possibility of subscribed bank clients sharing transactions with our fintech partners also offering cashback? 🤔 Go beneath the surface of our platform and understand how Pierre-Louis DANIEAU and the data team developed a solution to avoid this scenario 👇

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Unbelievable, but very exciting – 7 years after the publication of BCBS 424 most challenges relating to the CRR III implementation are still ahead of the banking industry.   Monday we had the pleasure to discuss the roadmap for the next months with representatives from various Banks with the following key take-aways:   - The next few months will be dominated by the (technical) implementation of CRR III - At the same time, the many outstanding EBA standards will also present us with technical challenges - Even after the summer of 2025, CRR III will be a priority as many banks will focus on RWA optimization once the technical implementation is finalized   But the event not only offered interesting insights, but also the opportunity to network at and get-together 🤝   Special thanks go to our guest speakers Christina Wehmeier Dr. Eva Lettau Stefan Trummer, MBA, FRM, which enriched the event with the perspective of banking associations and software providers.   We are already looking forward to the next occasions – events, workshops as well as project meetings – to discuss issues relating to CRR III and other regulatory topics 📅 #CRRIII #Banken #KPMG

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