Payarc, a US-based fintech company, has collaborated with Amazon Web Services (AWS) to enhance its payment processing capabilities using artificial intelligence (AI).
The partnership aims to optimise Payarc’s platforms through AWS’s advanced AI and analytics tools. This integration equips Payarc with real-time insights and predictive churn analytics, improving fraud detection, customer retention, and revenue generation for businesses in a data-driven economy.
At the core of Payarc’s technological advancement is its Payments Intelligence Expert, known as Pie. Utilising AWS technologies such as Amazon SageMaker and Amazon Redshift, Pie streamlines transactions and provides businesses with secure and timely data insights.
One of Pie’s main features is predicting potential merchant churn with an 85% accuracy rate, allowing Payarc’s support teams to proactively address issues to maintain stability and foster growth.
Beyond customer retention, Pie is said to enhance risk management by predicting ACH payment failures and automating document verification processes. This automation is claimed to reduce onboarding times by 95% and decrease manual processing by 90%.
Additionally, Pie optimises reserve management with over 80% accuracy, potentially lowering financial risks.
Payarc CEO Zachary Martinez said: “Integrating AWS’s advanced AI and data infrastructure enables us to scale intelligent decision-making across our entire ecosystem, especially within our Pie artificial intelligence tools.
“From predictive churn analytics to real-time risk assessment, Pie is designed to help businesses operate with greater precision, efficiency, and confidence at every stage of the payment process.”
Supporting businesses further, Payarc has launched an Agent Pricing Advisor tool to simplify complex data into actionable insights for cost optimisation. AWS technology ensures smooth data processing and machine learning capabilities across these innovations.
Components like Amazon SageMaker develop models for fraud detection, while Amazon Redshift processes substantial volumes of transactional data for real-time analytics.
The partnership also promotes transparency and fairness in AI-driven decision-making processes. Tools such as Amazon SageMaker Clarify aim to mitigate bias in fraud detection models. This collaboration reinforces trust and supports ethical AI use within the payment processing industry.
AWS North America vice president Rich Geraffo said: “AWS is committed to helping innovative companies like Payarc transform their industries through the power of AI and advanced analytics.
“By leveraging our comprehensive suite of analytics and AI services, Payarc is not only streamlining payment operations but also demonstrating how AI can deliver tangible business outcomes—from predictive churn analytics to automated fraud detection—while maintaining the security and compliance that payment processing demands.”
