Nucleus Software, the leading provider of lending and transaction banking solutions to the global financial services industry, today announced the launch of the latest version of its transaction banking solution FinnAxia 7.0.
With this launch, Nucleus Software introduces a virtual account management (VAM) solution designed to enable banks to open virtual accounts for their corporate customers – accounts that can replace real current accounts and instantly route payments and collections to a linked ‘master’ current account. Reducing the number of physical accounts helps streamline the corporate accounts receivable process, ensuring faster payee identification, error-free reconciliation, reduced days sales outstanding (DSO) and improved working capital management. With FinnAxia VAM, banks can centralize cash operations for their corporate customers thereby providing real-time visibility and better control of liquidity positions along with enhanced forecasting capabilities for faster and more informed decision making. Banks can also provide a range of self-service options to the corporates – allowing them to design complex shadow account hierarchies for a real physical account in line with their specific business needs.
The solution increases the addressable market for banks as corporates like Pension Funds and Mutual Funds companies handling client money can leverage the solution for client money management through notional segregation of the clients’ money using shadow accounting and shadow balance tracking at the virtual account level. Corporates can slice and dice reports according to their business needs with the solution providing them the flexibility to structure, segregate and aggregate data. The clarity on transaction streams at the entity or subsidiary level combined with the reduction in the number of physical bank accounts brings treasury efficiencies of improved account rationalization and real-time liquidity. FinnAxia VAM also helps banks onboard customers faster with a number of features including an AI-based intelligent text extractor.
FinnAxia VAM enables banks to provide an enhanced customer experience, reduce their operational costs through high STP rates combined with low IT expenses, and also improve their compliance to regulations such as BASEL III, IFRS and BEPS.