Finastra, a global provider of financial software applications and marketplaces, today announced it has been selected by LGT to roll out instant payment services in Austria and Liechtenstein, with other markets to follow.
LGT will implement Finastra's payment hub using a model bank implementation approach, to accelerate its readiness to meet the EU instant payments regulatory timeline. By uncoupling payment processing from its core banking platform and implementing Finastra's future-proof solution, the bank will also now be able to meet the anticipated growth in instant payment volumes while providing the required 24/7 service availability.
"Payments are becoming increasingly sophisticated, and it is crucial that we continue to evolve to meet our customers' business needs and regulatory requirements," said Bernhard Strauch, Head Securities & Payments Services at LGT Financial Services Ltd. "We selected Finastra's payment hub as it supports multiple payment types within one standalone system, while enabling seamless integrations of new services as and when we need them. With Finastra's solution and industry expertise, we will gain the necessary agility required to keep pace with regulatory and industry demands."
Finastra's payment hub provides banks with a future-proof, scalable and resilient payment processing system. Financial institutions can meet current regulatory requirements, respond faster to future changes and deliver personalized services to their customers. Combined with a model bank, best practice implementation, the solution will enable LGT to quickly meet the fast-approaching EU regulatory deadline for instant payments. Once implemented, the bank can easily adopt other schemes, such as SIC5 IP in Switzerland, and embrace ongoing modernization, innovation and growth. LGT also uses Finastra Kondor, a bank treasury management system, and Finastra's Total Messaging platform.
"Many institutions need to urgently assess whether their current payment processing environment can support the expected increase in volumes and the need to operate 24/7," said Neil Macro, Vice President, Managing Director - EMEA mid-markets, Payments at Finastra. "This has been a huge priority for us at Finastra; ensuring that banks are fit for the future with our sophisticated payment hubs, including with the option to pay as you grow. Underpinned by open architecture, APIs and our partner ecosystem, our solutions enable banks like LGT to innovate at speed, boost risk management and deliver enhanced services to end-users. For example, the bank can seamlessly implement new functionality to strengthen its instant payments offering, such as Verification of Payee and real-time sanctions screening. We look forward to supporting LGT on further developing its payments services."