Finastra has partnered with fraud prevention provider FraudAverse to add real-time fraud detection to its Financial Messaging platform for banks handling global payments.
The partnership brings an AI-driven fraud prevention service to institutions using Finastra Financial Messaging. It targets threats in fast-moving payment flows, including instant payments where decisions must be made in real time.
Finastra Financial Messaging manages and routes payment messages across networks and formats. The integration embeds fraud detection into that workflow, aiming to shorten response times when suspicious activity occurs.
Pre-integrated service
FraudAverse is pre-integrated into Finastra's Financial Messaging software, allowing banks to identify and mitigate fraud during payment processing.
The vendors say the service uses AI to detect known and emerging threats. FraudAverse says its systems can deter up to 99% of fraudulent transactions.
Stephanie Mitchell, Director of Product Management, FMM at Finastra, linked the launch to changing payment patterns and more sophisticated fraud.
"As payment volumes grow and fraud tactics become more sophisticated, financial institutions must tap into robust, cloud-ready prevention solutions," said Mitchell. "Working with FraudAverse enables us to bring a flexible offering to banks which is optimized for today's fast-moving payments landscape. We expect many of our customers will opt to make use of this pre-integrated solution."
Instant payments focus
Instant payments have increased pressure on banks to detect fraud at the point of transaction. Many payment schemes settle in seconds, leaving little time for manual checks or post-event intervention. As a result, more banks are moving to automated decisioning and risk scoring inside core payment systems.
The integrated service provides real-time decisions across multiple messaging formats, according to the companies. They also highlight low-latency support for instant payments and the ability to scale as transaction volumes rise.
The partners say the integration reduces investigation time and lowers deployment effort because it is pre-integrated with the Financial Messaging product.
Constantin von Altrock, CEO of FraudAverse, said financial crime prevention remains a priority for banks globally.
"Financial Crime prevention is a critical priority for financial institutions worldwide," said von Altrock. "Our collaboration with Finastra combines advanced AI technology with seamless integration, empowering customers to protect their transactions in real-time and with confidence."
Market context
As transaction volumes rise and criminals adopt more adaptive techniques, financial institutions have increased spending on fraud controls. In payments, faster settlement and expanding digital channels have made fraud detection more time-sensitive, contributing to a shift from standalone monitoring tools to controls embedded in payment and messaging infrastructure.
FraudAverse describes its product as a cloud-based service that uses machine learning for real-time risk scoring and generative AI to identify patterns. It also claims low false-positive rates, which can help reduce operational costs tied to manual investigation and delayed payments.
Finastra sells software across payments, lending, and banking technology. It reports serving more than 7,000 customers in over 110 countries, including many of the world's largest banks.
The FraudAverse partnership follows a separate agreement Finastra signed last year with i2c to expand debit card issuance and digital wallet options for banks and credit unions in North America through i2c's processing platform and related services.
The Financial Messaging integration is expected to appeal to banks seeking consolidated fraud controls in payments operations, with pre-integrated deployment positioned as a route to faster production rollout.