80% of Banks Acknowledge Billing Shortfalls

Banks have long treated account analysis as routine maintenance, yet new data shows it has become a decisive factor in revenue integrity and client trust. The shift is clear in the latest PYMNTS Intelligence report, which examines how modern tools are reshaping a function once seen as purely administrative.

The report, “From Back Office to Bottom Line: How Modern Account Analysis Empowers Treasury Management,” finds that financial institutions are losing millions from legacy processes and inconsistent pricing systems. It outlines how business intelligence and automation transform account analysis into a frontline driver of transparency and relationship depth.

It also explains why commercial clients, whose expectations now mirror their consumer digital experiences, want clearer visibility into the fees and credits tied to their banking relationships. These findings point to a wider trend. Clients want accuracy and real time clarity. Banks want predictable revenue. Both sides want fewer surprises.

Key findings include:

$98.5 million lost each year. FIS research estimates that operational inefficiencies tied to reconciliation cost institutions roughly $98.5 million annually, largely because manual work remains embedded in billing and data collection workflows.

Up to 15% revenue leakage. Datos Insights reports that weak pricing governance drains between 5% and 15% of earnings through uncollected fees, unauthorized discounts and inconsistent enforcement of rate expirations. Modern platforms can automate these controls and standardize oversight.

80% see capability gaps. Eighty percent of North American banking executives say their current pricing and billing systems fall short of client expectations for flexibility and transparency, creating an opening for competitors offering more modern, business intelligence-driven platforms.

The report goes further than documenting inefficiencies. It shows how modern account analysis platforms can strengthen relationships with commercial clients, who often hold multiple products across treasury services, lending, payroll and merchant processing. These relationships are lucrative and interconnected. They are also at risk if clients believe their pricing is opaque or inconsistent.

Banks that modernize give relationship managers real-time tools for pricing scenarios, negotiation support and visibility into client-profitability trends. That visibility helps bankers respond faster to market shifts. It sharpens their understanding of cross-sell opportunities. It improves conversations that define long-term value.

Another theme is competitive pressure. Manual processes slow billing cycles and delay revenue recognition at a time when margins matter. Automation frees staff from repetitive tasks and moves billing accuracy closer to real time.

One multinational bank using FIS’s Optimized Reconciliation Service cut manual reconciliation work by 73% in 2024. It eliminated the need to process 600,000 transactions by hand. Productivity gains like that change cost structures. They also reduce exposure to compliance risk. Banks need both outcomes. Clients demand both outcomes. The market rewards both outcomes.

The report concludes with a modernization roadmap that emphasizes automation, pricing governance, BI-driven insights and integrated platforms. These recommendations are practical and reflect what many institutions already recognize. Account analysis is no longer a back-office task. It is a strategic capability tied directly to revenue quality, client loyalty and competitive strength. Banks that invest in modernization will be better positioned to protect earnings and deepen the relationships that matter most. They will also be better equipped to meet rising expectations. That is the new baseline.