FRAUD & ID VERIFICATION
The remaining transactions occur through ACH and wire transfers, which present their own limitations.“ ACH and wires, it’ s only the money that moves. The data doesn’ t move with the money,” Raj notes, highlighting a fundamental problem these legacy systems create.
“ The reason we’ re so focused on making these payments smarter is because they make businesses stronger,” Raj explains.
“ When you think about a consumer experience today in payments, it’ s often what you’ re used to – digital, seamless, secure. That level of ease has not come into commercial payments nearly as much.”
The complexity of business payment workflows creates significant barriers to digitisation. Commercial transactions involve multiple departments, complicated approval processes and various risk management protocols not required by consumer payments.
“ In commercial payments, you have a more complicated workflow, processes, different teams involved,” Raj observes.“ You’ ve got to think about the operations, the various components of risk, more controls, more visibility.”
To overcome these challenges, Mastercard embeds virtual cards into platforms businesses already use, creating an ecosystem connecting issuers, acquirers, corporates and technology providers.
“ What we’ re doing is assembling the ecosystem and embedding virtual cards into the procurement systems,” Raj reveals. fintechmagazine. com 45