Bank of America launches AI-powered CashPro Forecasting
Bank of America today announced the launch of CashPro Forecasting, a tool that uses artificial intelligence (AI) and machine learning (ML) technology to more accurately predict future cash positions on bank accounts. customers of Bank of America and other financial institutions.
The solution was developed in collaboration with a fintech specializing in applying machine learning to cash flow forecasting to help solve a major problem for businesses: how to measure future cash flow needs without significant manual effort or investment. expensive technology.
“Many companies today rely on manual and repetitive work to forecast their cash flow needs, which leaves little time to analyze the data to make strategic decisions, which is the real goal of the forecasting exercise,” said Ken Ullmann, co-head of Global Commercial Banking. , Global Transaction Services at Bank of America. “With CashPro Forecasting, companies can automate their forecasting process while improving the accuracy of their forecasts, all without making any IT investment.”
CashPro Forecasting is available to customers who are already using CashPro®, the platform the bank’s businesses and corporate clients use to manage their day-to-day cash and borrowing needs. “Unlike competing solutions, CashPro Forecasting requires no integration as it is fully integrated into the platform, allowing it to automatically connect to historical customer cash flow information,” said Jay Davenport, Head of product structuring sales in global transaction services at Bank of America. “A customer can activate the service themselves from their CashPro settings and start using it immediately.”
CashPro Forecasting uses a variety of ML models to learn from a client’s historical cash flows, automatically selecting the most accurate for each account and using it to forecast future cash positions. At the end of each day, the models are recycled based on that day’s new cash flows, allowing them to continuously learn and adjust to changes in seasonality and other business-specific operational impacts.
“The economic impact of the pandemic has underscored the importance of cash visibility on the one hand and accurate cash flow forecasting on the other. Many companies have been in the spotlight over shortcomings in their cash flow forecasts, whatever the source. As a result, pioneer banks have accelerated improvements in their cash flow forecasting offering,” said Alenka Grealish, senior corporate banking analyst at Celent.
CashPro Forecasting key features include:
Improved Accuracy – Machine learning technology automatically learns from historical cash flows
Scenario Analysis – Users can create their own forecast scenarios by taking averages or assigning growth rates
Multi-Bank Reporting – The service forecasts cash flow on Bank of America and bank accounts held at other third-party banks
Transaction Mapping – Users can create simple rules to automatically categorize and forecast individual transactions into categories such as collections or payroll
Simple configuration – No implementation. Companies can activate the service directly in CashPro and start using it immediately
Customizable – Businesses can forecast by account, currency, transaction type, or choose their own cash flow categories. These can be done on a daily, weekly or monthly basis, up to a year in the future
Backed by a team of innovators, Bank of America is a leader in treasury and transaction services, with CashPro Forecasting being the latest innovation brought to market. Others launched in the past year include Account Validation, Recipient Selection, Full AP, Executive Explorer Travel Card and an enhanced version of Smart Receivables. Learn more about the bank’s Global Transaction Services capabilities.