Maintaining a Competitive Advantage in Treasury Management
Has your bank started the journey toward building a complete Treasury Management solution for your business customers? If so, you are already on the right track. Treasury Management is no longer just a nice-to-have service. It has become a competitive requirement. Business customers evaluate their banking partners not only on lending but also on how well the bank can support their daily cash management needs.
One of the most critical decisions in this journey is the selection of an Account Analysis System (AAS). Over the years, in working with many banks, we have seen how the wrong system can limit your ability to provide a competitive offering. A poorly chosen AAS creates inefficiencies, frustrates customers, and puts your institution at a disadvantage. On the other hand, a well-chosen system helps you streamline processes, improve customer experience, and expand your Treasury Management offerings.
So, what should you look for in a modern AAS? At a minimum, we believe it should include:
Complete integration with both your core system and online banking platform. This eliminates manual processes and provides a seamless digital experience.
Tiered earnings credit rates (ECR), including the ability to set them at the individual account level.
Self-managed security, which allows business customers to manage their own users and reduces the burden on your staff.
Statement modeling, so your sales team can demonstrate how converting from hard charges to an analyzed structure impacts a customer’s fees or compare a competitor's fee structure to yours.
Unlimited transaction codes and item counters, giving you flexibility as the number of Treasury Management services you offer grows.
Balance requirements clearly displayed on statements, helping customers avoid hard charges.
Grouping of sub accounts, with no limits, to accommodate complex customer structures.
Customized reporting available directly from the AAS platform.
Blended account benefits, such as paying ECR up to the required balance and then paying interest on any excess amounts, all posting to the same analyzed account.
Your AAS is more than just a back-office system. It is the foundation of how you deliver value to your business customers. Selecting the right one ensures you can remain competitive and deliver the high-level Treasury Management experience your customers expect.
- Marci and Tim
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In this month's paid membership section directly from the TMClarity Framework, we go deep on Managing Internal Support Issues in Treasury Management. If you are a paid Launch Pad member, login using the links in the box below.
