TEXPO 2020 New Traditions in Finance SWIFT GPI Delivering ......SWIFT GPI –Delivering the Fairy...

SWIFT GPI – Delivering the Fairy Tale

Cheryl Beth Jacobs, CTP, NPDPWells Fargo Bank, N.A.

September 4, 2020

TEXPO 2020 – New Traditions in Finance

Mike LewisSWIFT – US and CA Corporates Team

Client/Prospect Name 2

• You need more raw materials from Thailand in order to manufacture enough product on time

• You’re using a new supplier who will not ship until the goods are paid for

• Your finance team logs into your digital banking platform and sends a wire for $1 million

• And you wait….

You’ve just landed that huge sale!

© 2020 Wells Fargo Bank, N.A. All rights reserved. Restricted.


• Value of tracking and confirmation for their cross-border payments

• The vast majority of customers want their banks to push status to them rather than having to request it

• API delivery was envisioned as “optimal” state, but several are not ready operationally for that delivery

• Value in the ability to send tracking updates to beneficiaries

• Customers want confirmation on all payments and a few wanted to set criteria for highly sensitive payments

• Only one saw value in having access through a mobile device

• Impressed by the speed of cross-border payments sent as gpi

Treasury expectations

© 2020 Wells Fargo Bank, N.A. All rights reserved. Restricted. Data from 2019 Wells Fargo customer interviews


What is SWIFT gpi?

Deduction transparencyVisibility into any fee deductions for the payment

SpeedSame day processing at each bank in the payment process

TraceabilityTracking of payment using unique number with confirmation of beneficiary credit

Unaltered remittanceThe information you send will make it to the beneficiary (up to 140 characters)


55% clear in 30 minutes or less

95+% clear same day

896 banks live today

75% of all SWIFT network traffic as gpi

Data from SWIFT gpi Newsflash: April 2020


Specific customer statements


“Transparency around fees and deductions –today we guess/estimate what the fees will be and inflate the principle to deliver full amount.”

“The speed of payment processing is impressive, exceeded my expectations!”

“Often, a $10,000 payment is more sensitive than a $1,000,000 payment.“

“Long-term, the ability to run data analytics on bank performance and bank fees will shape who processes what payments for us.”

“Having the payment confirmation on file and readily available for resolving post transaction issues with vendors and internal business units.”

“What took you so long?”

Data from 2019 Wells Fargo customer interviews.


Key drivers to solve real business problems

NetworkEffect

Easy to useDeliverCertainty

FraudPrevention

Universal Key

Harness Technology

Tracking is only as good as the network of providers

Reduce friction to payment originators

Provide certainty to parties involved in the payment

Need for solutions to trap and stop fraudulent payments

Ensure trackingnumber is assigned and is ubiquitous

Streamline technology to deliver near-real time message exchange



Live with23 banks1Q 2017

Innovation timeline

Idea pitched3Q 2015

DiscoveryDesign1Q 2016

24 Live2 million3Q 2017

MandatoryReceive4Q 2017

New ValueAdd PoC2Q 2018

50 MillionPayments2Q 2018

MandatorySend4Q 2018

FraudTools1Q 2019

UniversalConfirms4Q 2020

What’s next

Pre-ValidationPilot4Q 2020

Case Resolution2Q 2020

Inbound Tracking4Q 2020

Request to PayTBD

2015 2016 2017 2018 2019 2020



So, what is coming?



I mistakenly sent a transaction; now what?

• Have you identified a fraudulent transaction?

• Do you ever need to cancel a wire that’s been sent?

Stop and Recall –

Live for banks, Corporate TBD

• Leveraging the tracking number, send a message to the SWIFT tracker to stop the payment in its tracks

• Send payment back to originating bank

Pay and trace

I need a number for full payment lifecycle

• Are you sending payment files and have challenges with end-to-end payment identification?

• Do you want to know the transaction ID at the time of payment origination?

Pay and trace –

Live now*

• Create the tracking number utilized by SWIFT gpi at the time of payment origination

• Leverage that knowledge of the unique ID for the full payment cycle

• Close the loop for the payment lifecycle – origination to reporting

Stop and recall

* Must be a SWIFT member, payment initiated by gpi enabled bank supporting the service.



Is my payment going to process?

• Ever need to know that your payment details – including beneficiary account and name are accurate?

• What about ensuring that you’ve addressed all of the country requirements?

Pre-validation service –

Pilot 4Q 2020

• Confirm that you’re sending the payment to the correct account number and account name

• Improve straight-through-processing of payments

• Reduce exception processing

• Reduce investigations

Inbound payment tracking

How can I know about payments that are on their way?

• Do you ever wish you knew about payments that were in-route?

• Expecting a payment but not quite sure when it will make it to your account?

Inbound payment tracking –

Early adopter now, Live 4Q 2020*

• Allows you to “see” payments that are on their way to your accounts with all details

• Reduce the need to check reporting during the day

• Potentially help manage liquidity and working capital

Pre-validation service




Can we make this easier?

• Need a better way to collect payments around the world?

• Struggle with reconciliation related to payments you receive?

Cross-border request to pay –

While proof of value is complete, target date is still open

• Improve reconciliation by sending requests for payment instead of waiting on your trading partner to send the payment

• Reduce fraud, including invoice fraud by enrolling both creditor and debtor to the service

• Leverage transaction ID from invoice to deposit to identify the payment

Case resolution

How can I speed up knowing about a payment?

• Now that the payment is processing super fast, how do I know why this one has not made it?

• I really do need to hear about this particular transaction.

Case resolution –

Bank general availability June 2020

• Corporate availability TBD

• First use case – Unable to Apply

• Leverages the power of the tracking number and infrastructure

• Improves transparency to requests

• Supports efficient routing and reduces resolution time

Cross-border request to pay




• In the future (now), what that same scenario looks like

Landing the huge sale… revisited


Thank you

Cheryl Beth Jacobs, CTP, NPDP

Global Product Manager

Wells Fargo Bank, N.A.

[email protected]

704.715.6670

Mike Lewis

Regional Sales Manager, Corporates US and CA

SWIFT

[email protected]

917.689.9419

mailto:[email protected]

mailto:[email protected]

TEXPO 2020 New Traditions in Finance SWIFT GPI Delivering ......SWIFT GPI –Delivering the Fairy...

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