The quick growth of neobanks and FinTechs has put an increased emphasis on secure money movement. Ingo Payments CEO Drew Edwards details the challenges in money movement and their solutions in the new PYMNTS eBook, “The Implications of Uncertainty.”
Navigating the uncertainties surrounding inbound funding sources from financial institutions, wallets and FinTechs has become a top priority for businesses as we round the corner into the second quarter of 2024. With the emergence and quick growth of neobanks and non-traditional financial institutions, there is an increasing emphasis on ensuring secure money movement into accounts, accompanied by a new level of uncertainty regarding the reliability of funds moved into accounts.
Challenges in Inbound Funding Money
Funding an account through various channels — such as ACH, checks and card-based transactions — carries an inherent risk of fraud and potential losses for financial institutions. While it may look like funds have been received and are “good,” many players are learning the hard lesson that even honest consumers often have 90 days or more to claw back funds that may have already been moved or spent.
