RPA or Robotic process automation in banking is the sure-fire strategy to reduce repetitive manual tasks and redirect resources to value-added services that align with the current market demand.
Banks and financial institutions are working in an extremely competitive environment, and quite rightfully so, to pursue the desired efficiency in catering to changing customer expectations. A tad bit of automation can help the former achieve its objectives and stay afloat with the top trends of 2022. These trends show that technology is the need of the hour, so is automation. Hence RPA is the missing piece of the competition.
Robotic Process Automation helps banks improve their processes, curtail unnecessary expenditures, and, most importantly, reimburse for various fraudulent transactions.
Today, the banking sector has branched out into many subsidiary segments, each focusing on improving, managing, and expanding customers’ wealth. Retail, capital, commercial banking, and wealth management call for customer data that are both sensitive and vulnerable to possible cyber thefts.
Any fraudulent intervention can prove fatal for customers and add unnecessary financial risk for the bank in question. Customers trust banks with their wealth. However, an increasing number of fraudulent transactions put the bank’s reputation in the line of fire.
In 2021, fraudulent e-commerce transactions spiked between Thanksgiving and Cyber Monday. As per reports, 17.46% of all global transactions between these two days were potentially fraudulent. Countries like the US were the worst victims of such cyber thefts. The US customers and banks witnessed nearly 19.66% of duplicitous transactions in the same period.
Compensating every customer for their loss can put banks under tremendous financial risks. Unfortunately, this happened to one of the largest financial services holding companies based in the US.
Robotic Process Automation tools proved to be a blessing in disguise for this reputed firm and arrested repeated fraudulent transactions to a great extent, thereby saving nearly $500,000 in 6 months.
Let’s dive deeper into the case study to understand how RPA helps banks negate cyber-theft attempts intelligently.
The 147-year-old Fortune 500 firm started as a community banking service provider. Soon the firm expanded its services into other financial areas, including retail and commercial banking, investments, insurance, wealth management, asset management, corporate banking, capital markets, and specialized lending.
The firm’s exceptional track record in customer excellence precedes its reputation in other areas. But unfortunately, its reimbursement policy put the firm in a financial dilemma.
Increasing fraudulent transactions compelled the firm to reimburse each client without reclaiming payments from their debit card and fraud monitoring provider. Even though these were low-dollar transactions, the high volume of reimbursements catapulted into millions of dollars in losses every year.
To arrest such fraudulent activities entailed the firm to abandon their paper-pen approach to validating every customer documentation. They realized the need for a digital-first approach. And Intelligent Automation was the answer.
With EdgeVerve’s AssistEdge RPA platform, the client was able to:
Automation of manual processes benefited the firm in many ways:
The above case study is an apt example demonstrating how RPA in banking helps. Let’s shed light on its benefits.
RPA solutions for banks and financial institutions can help fight increasing cyber thefts and safeguard customers’ information and wealth from any misappropriation. A few such benefits are discussed below:
Our client has been well-benefitted by the AssistEdge RPA solution. An automated process safeguards banks from financial frauds and ensures that your business ignores futile manual attempts, keeping costs at a bare minimum.