In October, a bank-owned leader in payments fraud prevention and risk management announced the acquisition of the largest financial institution-led digital payments network in the U.S.
That deal, of course was the announcement that Early Warning was acquiring clearXchange, which was officially announced Oct. 26. Now, fast forward into the first couple weeks of 2016 and the deal is officially complete. This deal gives the ability to deliver real-time payments to consumers, businesses and government customers, securely, that can also authenticate the digital identity of a consumer.
“Integrating Early Warning’s industry-leading fraud prevention services, authentication capabilities, and bank network with the scope of clearXchange’s digital payments solution will create the largest, most secure real-time payments ecosystem in the U.S.,” said Paul Finch, chief executive officer of Early Warning. “Consumers, businesses and government agencies will now be able to seamlessly send and receive payments with unparalleled speed, accuracy and security through our network. We are eliminating friction from real-time payments.”
This real-time payments platform is set to go live with banks in 2016’s Q1, which will allow for instant P2P payments and check deposits to be made. Financial institutions currently participating in the network represent approximately 65 percent of the demand deposit accounts in the U.S, and participation in the network is open to banks and credit unions of all sizes.
“The industry has committed to a broad, collective effort to develop the innovative services our customers demand,” said Bill Demchak, chairman, president and chief executive officer of The PNC Financial Services Group Inc., which recently joined the network. “Early Warning is unique in its ability to deliver consumers and businesses faster payments with superior convenience, broader reach and greater security.”
Following up on that sentiment, Finch noted: “Our vision for the future is real-time payments that are universally accessible, secure, and provide the experience and convenience that all types of users want. At Early Warning, we believe the best payments solution is one developed, secured, and delivered by financial institutions.”