GIACT, a London Stock Exchange Group (LSEG) business, is leveraging Mastercard’s open banking capabilities through a new partnership.
According to LSEG, businesses will be able to use its digital identity and fraud tools to validate the information of more than 95% of U.S. deposit accounts.
“Digital acceleration has changed how people think about money and what they expect from financial services, and we are proud to be partnering with GIACT’s team to provide their clients the ability to automate account verification using consumer-permissioned, real-time bank data,” said Andy Sheehan, Executive Vice President of U.S. Open Banking at Mastercard in a press release.
Via this partnership, GIACT is looking to streamline onboarding and decrease fraud by letting its customers confirm key information, including the bank account owner, the income account balance, as well as transaction information, within a single bank account.
By and large, GIACT has been working to solve the digital onboarding challenge—and at the same time—make sure there are proper protocols for regulatory compliance in place.
“A better customer experience brings really rich rewards,” said Gareth Walker, Global Head of Client and Digital Onboarding at Refinitiv, an LSEG business, during a recent PaymentsJournal podcast.
And according to Walker, in the financial services industry, satisfied customers are seven times more likely to increase their deposits and twice as likely to open a new account with an institution if they consider themselves a satisfied customer.
As more financial services businesses look to target new customers and retain existing ones, there needs to be more attention around d customer abandonment and conversation rates, as well as an understanding of how fraud may impact their bottom line.
Didn’t catch GIACT’s webinar last month on how to increase conversions without increasing risk? Register here for the on-demand webinar.