Wiring $1 billion from your iPhone

The reshaping of Royal Bank of Scotland has forced many European corporates to find a new bank for their millions of commercial payment transactions, the lifeblood of any business. The British bank is pulling out of providing cash management and trade finance services to international clients.

Investing in a new banking relationship is expensive and time consuming for corporates, so CFOs would want to know if the banks they’re considering are investing in innovative technologies in areas such as mobile, says Dick Oskam, ING’s global head of transaction services sales.


Dick Oskam, global head transaction services sales at ING


“The cost of moving payment transactions will vary from hundreds of thousands to a couple of million euros, if a whole new software system has to be put into place,” says Oskam. “Corporates are being forced to incur huge unforeseen costs. They may also have to hire additional staff.”


From global to regional

ING has invested heavily in technology and operations to help ease companies’ transition pains and installed a dedicated pan-European implementation team to ensure smooth onboarding. We have local operations in 28 countries and a full suite of transactional banking services in each country.

Corporates looking for new banking relationships increasingly prefer doing business with local and regional banks, notes Mark Buitenhek, ING’s global head of transaction services. They feel global players are pulling back and so they tend to favour a strong regional player with its infrastructure in place and a firm commitment to the region.


Digital acceleration

To address growing demand, ING has accelerated its plans to become a truly digital bank. A new portal, InsideBusiness, is aimed at ultimately becoming a single point of entry for every product and service we offer our corporate clients. The portal has five main functions: payments, cash management, foreign exchange, lending and a service centre.


Mark Buitenhek, global head transaction services at ING


The full launch is scheduled for 2016, but customers can already use the portal to manage mass payments, see a total liquidity view based on all their accounts and fund flows housed with ING, do basic hedging and monitor bilateral borrowing.

This July, we launched the secure InsideBusiness mobile app for iOS and Android smartphones and tablets. This has required a whole new security set-up, says Buitenhek: “Imagine wiring $1 billion from your iPhone.”