Looking ahead: new risks loom for real-time transactions.
If 2020 taught us anything, it was that changes are sometimes swift and severe. Standing on the horizon of financial technology, we need to adopt a fluid frame for the future. As push-button transactions occur at lightspeed, credit unions can prepare to keep up with real-time tracking.
“Let's examine our transaction infrastructure,” begins Kyle Stutzman, VP, and Co-Founder of Pure IT Credit Union Services in his interview with Mike Lawson on the CU Broadcast. “With instant money movement in our future, how will our core handle real-time transactions?”
Moving beyond fraud and ACH concerns- can our systems keep up with the speed at which transactions are occurring? As funds move from one institution to another at lightspeed, real-time payment transfers may present new areas of risk.
Currently, real-time tracking has small implications, but as API’s create new ways to move money, complexity builds.
Looking down the path, what if regulation changes pose new areas of risk? Will small vulnerabilities become larger gaps in our system tracking? Is it time for our monetary systems to evolve with the FinTech global market? For credit unions, the answer is yes.
“We need to keep looking ahead to the future, to ensure we don’t get left behind. We can’t control these risks and can’t afford to ignore where our membership brings us,” Stutzman adds. It is up to credit unions to define real-time implications and risk profiles.
“Where should credit unions start to prepare for these changes?” Mike Lawson asks Kyle Stutzman on the CU Broadcast.
“There’s no silver bullet,” Stutzman adds, “but if we understand how to enable membership service while controlling risk is a great first start.”
This real-time tracking boils down to protecting members and organizations. Like it or not, changes are coming, and evolution is inevitable.
We invite you to join this conversation and explore the possibilities along our digital journey.
For the entire thought provoking interview, see this episode of the CU Broadcast here: https://www.cubroadcast.com/episodes/2331-what-are-the-risks-and-implications-of-todays-instant-money-movement-for-credit-unions