Banking Tech Awards 2024 Finalist: Valid Systems
Valid Systems has been selected as a finalist in the 'Tech of the Future - Fighting Fraud' category at the Banking Tech Awards USA 2024.
Introduction to RTLA and IFA
Valid Systems has unveiled two groundbreaking machine learning models, RTLA and IFA, that are setting new standards in transaction risk and fraud detection within the banking and fintech sectors. These models showcase exceptional accuracy in evaluating and flagging risky transactions, assigning severity scores to enable effective risk management.
Achievements
Client satisfaction
By eliminating processing delays, Valid’s solutions provide immediate access to funds, significantly improving customer experience compared to the standard 2-3 day processing time.
Industry integration
Valid’s models are integrated into 7 of the top 25 financial institutions, showcasing their widespread adoption and effectiveness in detecting trends and managing risks.
Key features and innovations
- Instant Funds: A feature designed to enhance client-elected fee revenue by offering transparent deposit choices and sub-second decision-making on checks. This ensures immediate access to good funds with a small convenience fee.
- Real-Time Intelligence: RTLA provides actionable intelligence for check deposits, alerting on over 75% of charge-offs with high accuracy, enabling efficient treatments during presentment.
- Predictive Analytics: IFA predicts the likelihood of an item being returned unpaid, while RTLA forecasts potential charge-off losses for the bank.
Impact and Benefits
- Client and Bank Protection: Instant Funds feature protects both banks and customers against return risks, offering immediate liquidity and improved customer satisfaction.
- Operational Efficiency: By providing real-time processing and recalculating machine learning features daily, Valid ensures accurate and responsive risk management.
- Enhanced Revenue: The innovative models contribute to year-over-year gains in client bottom-line revenue through effective risk mitigation and fraud detection.
Technological Edge
Valid stands out for its expansive global payer network and the development of single-cycle date ML PIT features, enabling versatile training of models and effective trend detection across the banking sector. Their decisioning process is real-time, with several ML features re-calculated intra-transaction for improved model performance.