Bank Of America Corp. created a forecasting tool that allows businesses to better manage their use of cash.
The service is for corporate and commercial clients using the lender’s CashPro app, according to executives. CashPro Forecasting’s artificial intelligence and machine-learning technology can gather data and predict future cash positions across a company’s bank accounts.
“The value of data is at an all-time high for companies that need a new way to focus on efficiency” during periods of transition and uncertainty, Tom Durkin, global product head of CashPro, global transaction services, said in an interview. “We’re going into a raising-rates environment, so you need an effective tool that sets your cash position.”
Charlotte, North Carlina-based Bank of America has invested billions in technology in recent years. Banks are developing tools that also allow commercial clients and individual customers to transfer funds.
CashPro, which manages a company’s everyday treasury and borrowing needs, has been in the market for more than a decade and has around 500,000 users, according to Durkin. Bank of America got the original technology through the acquisition of LaSalle Bank Corp.
Clients who have access to CashPro can immediately use the forecasting tool which is already integrated into the existing platform, Durkin said. The program adjusts its analysis based on seasonality and operational needs specific to each company.
“This is not a static product, it will continue to evolve,” he said.
— By Katherine Doherty