Posted on 30th March 2022
Synechron, a leading global digital transformation consulting firm, is proud to have one of its Synechron accelerators featured in the Federal Reserve’s new FedNow Service Provider Showcase, an online resource designed to connect financial institutions looking to adopt and innovate upon the FedNow Service with service providers offering instant payment solutions.
The FedNow Service is a new instant payment platform the Federal Reserve Banks are launching in 2023 to provide financial institutions of every size, and in any location across the nation, access to safe and efficient instant payment services in real time, 24 hours a day.
“We are honored to have been accepted as part of the FedNow Service Provider Showcase and we look forward to helping member organizations implement instant payments,” said Sandeep Kumar, Managing Director and Head of the FinLabs and PayTech Accelerator Program at Synechron, USA. “With our proprietarily-built ‘ISO 20022 Simulator’ solution in our FinLabs, financial institutions will be able to access the speed, convenience, and other benefits the FedNow Service will provide when it launches in 2023.”
“Our payment experts conceptualized this solution based on extensive analysis conducted in the Synechron FinLabs, and our vast experience in working with major global financial services clients. We continue to provide consulting and implementation services relevant to instant payments and ISO 20022 migration programs,” said Tuhinabhra Mahapatra, Head of Next Generation Payments at Attra, a Synechron company.
“Being featured in the FedNow showcase is a testimonial of our credentials in the payments space. The solution is an outcome of our understanding of the changes in the payments ecosystem and our pursuit of providing relevant solutions. Participating stakeholders can take advantage of our ISO 20022 simulator to fast track their migration programs.,” said Aravind Irodi, SVP, Head of Practices at Attra- a Synechron company.
Synechron plans to offer the following instant payment service to organizations that are adopting the FedNow Service:
ISO 20022 Simulator – an innovative solution from Synechron’s recently launched PayTech Accelerator program, this tool was created in Synechron’s own self-funded R&D initiative called as Financial Innovation Labs (‘FinLabs’). It can be used to help product owners, financial institutions and corporates simulate, validate, configure and report on a financial services firm's compliance with the upcoming ISO 20022 electronic messaging standard, which phases in for SWIFT from November 2022 and becomes mandatory in November 2025. It contains a single set of defined messaging standards and seeks to enable interoperability across payment schemes. This is key to allowing cross-border and high-value payments using a central repository, and data modeling methodology using the XML language. This allows firms to test their own systems and payment solutions, before connecting to the new, live ISO 20022 messaging system. Synechron’s tool offers more features and is more cost-effective than currently available tools on the market.
“We appreciate the commitment of Synechron to enabling FedNow adoption and participating in the showcase,” said Nick Stanescu, Federal Reserve Bank senior vice president and FedNow business executive. “The time is now for organizations to identify and connect with partners they’ll need to build the end-to-end solutions the market is demanding.”
Synechron is a leading digital transformation consulting firm and is working to Accelerate Digital initiatives for banks, asset managers, and insurance companies around the world. Synechron uniquely delivers these firms' end-to-end Digital, Data, Engineering, Cloud, Systems Integration, and Consulting capabilities with expertise in wholesale banking, wealth management, and insurance as well as emerging technologies like Blockchain, Artificial Intelligence, and Data Science. The company is present in 17 locations around the globe and across key financial markets, with over 13,000 employees producing $570.9M in annual revenue. For more information on the company, please visit our LinkedIn community.
The Federal Reserve Banks are developing the FedNow Service to facilitate nationwide reach of instant payment services by financial institutions — regardless of size or geographic location — around the clock, every day of the year. Through financial institutions participating in the FedNow Service, businesses and individuals will be able to send and receive instant payments at any time of day, and recipients will have full access to funds immediately, giving them greater flexibility to manage their money and make time-sensitive payments. Access will be provided through the Federal Reserve’s FedLine® network, which serves more than 10,000 financial institutions directly or through their agents. For more information, visit FedNowExplorer.org.
"FedNow" is a service mark of the Federal Reserve Banks. A list of marks related to financial services products that are offered to financial institutions by the Federal Reserve Banks is available at FRBservices.org. To learn more, visit the FedNow Service Provider Showcase on FedNowExplorer.org.
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