Finastra unveils Compliance-as-a-Service for US, European banks

Ellie Duncan
14 Sep 2023

Finastra has launched Compliance-as-a-Service on Microsoft Azure, a new payment solution that combines real-time sanctions screening and AI-powered anti-money laundering (AML) transaction monitoring.

The new service includes Fincom’s real-time AML transaction screening and Thetaray’s AI-powered transaction monitoring as a pre-integrated packaged solution with Finastra ‘Payments To Go’ to help tackle financial crime.

Finastra’s Compliance-as-a-Service enables US and European banks to comply with instant payment infrastructures, including the FedNow service in the US and TIPS in Europe.

“The introduction of any new payment rail brings new risks, and especially when that rail operates in real-time,” said Mike Vigue, chief product officer, payments at Finastra.

“We are building on the success of ‘Payments To Go’ for instant payments by providing accurate and efficient compliance capabilities at a reduced total cost of ownership.”

He added: “By pre-integrating Fincom and ThetaRay with our solutions, our customers will reduce the time and risks of launching instant payment services while benefiting from a new level of security, scalability and flexibility.”

Finastra’s ‘Payments To Go’ is an end-to-end Software-as-a-Service payment processing solution that enables banks to deliver instant and flexible digital payments by subscribing through Microsoft Azure Marketplace.

It will soon be integrated with Finastra’s Financial Messaging Gateway.

“By delivering relevant value-added payment risk solutions as a service, we will help banks to improve speed-to-market and ensure our customers stand to benefit from the ongoing evolution in enabling capabilities like AI and Machine Learning,” added Radha Suvarna, head of BaaS and value-added payment solutions at Finastra.

Research conducted by Finastra and published in April revealed that global banks partnering with fintechs prefer to plug into a platform of integrated fintech solutions to help reduce operational costs.

Three in four global banks intend to connect with an average of three fintechs in the next 12 to 18 months.