With real-time payments comes real-time risk, and now banks and their technology vendors are attacking the problem of how to make sure funds moving in the blink of an eye are flowing to the proper accounts. The latest move comes from banking power BNY Mellon, which on Thursday said it is working with Early Warning Services LLC to offer businesses and other banks the ability to verify in real time the status and ownership of accounts before the money moves.
The new service works with a broad range of payments, including wire transfers or automated clearing house transactions, in addition to funds movement through a real-time payments network. BNY said it can be enabled through an application programming interface but also can be accessed via batch-file services or an online user interface. The API will be available with BNY’s Zelle service for real-time disbursements.