Novo Adds Debit Card to Financial Platform for Small Businesses

Novo has added a debit card to its financial platform for small businesses.

The new Novo Debit Card features transaction monitoring, fraud alerts and in-app controls designed to help small business owners keep track of their transaction activity, the company said in a Thursday (June 22) press release.

“Small business owners use their debit cards to pay multiple expenses daily and are often too busy to monitor all of their transaction activity carefully,” Novo CEO and Co-founder Michael Rangel said in the release.

The debit card’s real-time fraud alerts are delivered via text message, email and push notifications when Novo detects suspicious transactions, according to the release.

Its activity notifications can be customized by the small business owner to send push notifications each time a purchase is made with the debit card, the release said.

The in-app controls allow users to instantly freeze their card, set a travel notice and track the delivery of their card, per the release.

“When you consider that U.S. businesses lose as much as 5% of their gross revenue to fraud, it’s crucial for small business owners to quickly know when an unauthorized transaction is processed,” Rangel said in the release. “Novo’s new debit card allows our more than 200,000 small business customers to effortlessly monitor fraud and control their card activity directly through the Novo app.”

PYMNTS research has found that most businesses are seeking more efficient methods of fighting fraud.

Seventy-one percent of organizations plan to implement new digital solutions to prevent fraud, and 49% said finding a better digital solution for fraud prevention is their primary prevention plan, according to “Risk and Resilience: A Business Fraud and ID Theft Report,” a PYMNTS and TreviPay collaboration.

The report also found that businesses that have reported success in implementing automated, digital anti-fraud solutions show the highest satisfaction levels with their current anti-fraud strategies.

Novo’s platform is designed to help small- to medium-sized businesses (SMBs) address their business banking activities on a bespoke basis, with a solution that fills the void between banking solutions that are consumer-like and simplistic and those that are meant for corporates and don’t meet the needs of SMBs, Rangel told PYMNTS’ Karen Webster in an interview posted in January 2022.

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