By providing end-to-end payment information, alongside immediate funds availability, real time payments have already revolutionised the payments experience – but even bigger opportunities lie ahead.
Extending data standardisation from domestic to cross border
As customers enjoy the benefits of real time in the domestic space, they are increasingly looking for the same frictionless experience cross border, as the next frontier for real time payments.
Multiple projects are underway in this space, including pan-regional collaborations such as ASEAN Payment Network and P27, industry initiatives such as SWIFT gpi Instant, and cross-scheme integrations, e.g. between EBA, US TCH, and SWIFT. Information and message standardisation, enabled by ISO 20022, will be a key factor in the success of these initiatives.
Supporting fraud control with extended remittance data
Information embedded within real time payments can help reduce the risk of fraud. Innovative machine learning systems use extended remittance data to detect fraudulent transactions in real time, providing the most efficient way to control fraud, without interrupting the payments flow, or compromising customer experience. In addition, extended remittance data should also help improve AML controls.