Saturday, 28 May 2022

ALTO adds ACI Worldwide fraud management to enhance payment experience

5 min read

ACI Worldwide, one of the global leaders in mission-critical, real-time payments software said ALTO, Indonesia’s leading interbank switch has added ACI fraud management to its retail payments solution capabilities.

The new deployment elevates ALTO’s interbank switch to the industry’s most advanced end-to-end enterprise payments solution. ALTO operates one of Indonesia’s largest payment and acquiring networks and uses ACI for card-based transaction switching. It also operates ACI’s world-class fraud prevention solution across a range of real-time and alternative payment and merchant acquiring solutions such as QR code real-time payments: a timely and prudent enhancement, given the recent introduction of BI-FAST, Indonesia’s first national real-time payment system.

Embedding ACI fraud management into ALTO’s full suite of ACI payment solutions enhances and provides the network giant’s customers with greater security, reassurance, and resilience and demonstrates its commitment to ensuring its real-time payments solutions are backed by an equally best-in-class risk and fraud management infrastructure.

As Indonesia races to digitalise, the explosion of digital payments has led to a surge in the complexity of fraud detection for financial institutions. The growing diversity of payment types, soaring transaction volumes, and increasing speed means there’s also a great deal more data to monitor and a lot less time to do it.

As real-time payments are new and fast, they are attractive for attackers. Fraudsters actively seek to exploit vulnerabilities in nascent digital technology and services, while the speed of payments means that they can cash out faster. The challenge is that traditional security solutions are often incapable of enforcing policies at the speed and scale of real-time payments.

Leslie Choo, managing director of Asia Pacific at ACI said, “Real-time payments are radically altering the way we view and respond to cybercrime and financial fraud, and the sophistication of the threat requires a modern, proactive approach”.

“Real-time threats require real-time data, analytics, security, and response – and that’s what ACI’s solutions provide to ALTO. The partnership with ACI will help ALTO navigate a complex and changing payments landscape, while simultaneously addressing the growing need for resilient domestic and global interoperability,” Choo concluded.

ACI is a strategic payments technology partner to ALTO and the implementation of ACI fraud management expands an already long-term and trusted relationship between the two organisations. The partnership helps ALTO address burgeoning regulatory requirements, capture growth in alternative payments, and respond to future developments of the BI-FAST national payment gateway within the Indonesian market. The addition of real-time security means ALTO is also further safeguarding its operations and customers’ data.

Patricco Baron, chief of product and innovation officer (CPIO) at ALTO said, “Staying real and relevant is our primary concern, given the complexity and speed of change in payments”.

“Cybersecurity remains an ongoing investment and evolution for us as we look to futureproof our business with the latest and best-in-class solutions to keep us and our customers protected. Together with ACI, we aim to ensure our customers remain in the safest of hands,” he added.

Real-time rails are a central pillar of Asia’s larger modernisation initiatives within banks and central infrastructures. ALTO’s move is yet another initiative in Indonesia to bring real-time payments mainstream following the recent launch of BI-Fast.

Indonesia is the latest in a series of Southeast Asian countries to upgrade its national payments infrastructure to drive digital economies and accelerate growth. As legacy payment systems continue to impede mature market innovation, the region’s countries are leapfrogging increasingly outdated technology and leveraging strong domestic central infrastructure as the foundation for real-time digital and cross-border payments.

Re-disseminated by The Asian Banker

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