The Superior Bank Advisory Council is an exclusive group of industry leaders who meet to discuss the latest developments in the banking sector. Fall’s Bank Advisory Council Meeting took place in October in upstate New York. The group discussed the current trends and needs in banking, while making valuable connections, enjoying networking and knowledge sharing.
Key Topics on the Superior Bank Advisory Council Agenda Included:
FedNow, the Federal Reserve's upcoming instant payments service, seems set to have a significant impact on our financial institutions. With its real-time payment capabilities, FedNow is expected to enhance the speed, efficiency, and accessibility of money transfers, providing users with instant and around-the-clock transaction processing. It was discussed how this innovation could reshape the payments landscape, pushing financial institutions to have to adapt to the evolving needs and expectations of their customers.
Fighting Check Fraud
The aftermath of the COVID-19 epidemic has witnessed a concerning rise in fraud, particularly check fraud. Financial institutions are facing the challenge of strengthening their security measures to fight this increase. The need for advanced fraud detection technologies, positive pay and secure authentication processes has become even more critical for safeguarding financial systems in the post-COVID era. Potential solutions discussed include repapering large volume offenders and adding onboarding resources to set up and train clients on fraud prevention measures.
Customer Experience & Technical Implementations
The importance of how to make customers happy was discussed and it was agreed that customers expect all their interactions with banks to be smooth, personalized, and easy. Good service is not just a way to stand out anymore - it's a must for all banks. This stretches from self service tools to hands on one on one interactions. Best practice ideas were shared including investing in better technology and simpler processes to make every step of the customer experience first class. Look for additional ways to reach customers in the communication method they are comfortable with. Segment customers to provide the service they need based on their business.
Conversions, Migrations, and Onboarding
We shared our latest enhancements and learnings from our Technical Assistance Center (TAC) department which provides customer service during software conversions and onboarding, RDC conversions, ACH and wire platform upgrades and other system platform changes. The council reviewed our Positive Pay support model and discussed success stories from the last 6 months. Our dedicated team of TAC specialists use the latest technology, proactive customer outreach, and excellent project management to guarantee a positive experience for your clients during periods of disruption.
The financial services industry is gearing up for the adoption of ISO 20022, a global messaging standard that structures payments data, automates functions, and enhances fraud prevention. In the U.S., the Fedwire Funds Service is set to transition to ISO 20022 in March 2025. While the transition is challenging due to the large volume of data and fields involved, banks are gradually making progress, with many experimenting with SWIFT, which now supports ISO. The adoption of ISO 20022 is seen as an opportunity for banks to streamline their systems and processes across various payment types. The transformation is driven by the need for speed, efficiency, and enhanced data exchange in both domestic and cross-border payments.
Our next meeting is scheduled for Spring 2024 in Sonoma, California. We will be exploring ways to improve client experiences from the start of their bank journey, and what are the future needs to support the client throughout their entire bank relationship.
We look forward to our Spring and Fall meetings in 2024, exploring more innovative ideas, finding new ways to work together collaboratively, and having fun along the way.