Since the Revised Payment Services Directive (called PSD2) came into effect, Open Banking services adoption has skyrocketed in countries like the UK, with many other countries in the EU and globally following suit.
Open banking has revolutionized the financial services that are available to consumers and the COVID-19 pandemic has served as a further catalyst for their adoption. With greater consumer demand, banks’ initial lukewarm response is making way to proactive participation. Banks are beginning to see the potential and are learning from companies who, in a short period of time, have successfully begun to fill the niche that has opened up with the advent of Open Banking.
Paysafe has been an active participant in the process of improving payment services for merchants and consumers. Rapid Transfer is a product that leverages Open banking functionalities to offer a host of benefits to merchants that exceed both the benefits of other derivatives such as cards, but also what most other Open Banking providers offer.
Want to know how Open Banking is revolutionizing payment services and why Rapid Transfer is right for your business? Keep reading below!
How Open Banking has transformed the payment landscape
Open Banking enables third-party financial services companies to provide consumers with a variety of services, for example, financial advice and loan approvals, in a more dynamic and simplified way. It also lets them develop online payment solutions that allow consumers to pay without having to leave a merchant’s website.
As a result, Open Banking improves customer experience by offering quicker and easier payments and higher transaction approval rates. This helps grow brand trust and customer retention. For merchants, more Open Banking services mean a competitive market in which processing costs are lowered and chargebacks are largely eliminated.
Only in the UK, this has translated into over 300 fintech companies joining the ecosystem, and more than 2.5 million UK consumers and businesses adopting Open Banking solutions. The volume of API calls in the country has increased from 66 million in 2018 to nearly 6 billion in 2020.
Rapid Transfer is part of this growing ecosystem of online payment services for merchants. It provides an instant bank transfer solution that supports over 3000 banks in Europe and enables consumers to pay directly from their bank account, without leaving your website.
Wondering whether Rapid Transfer is right for your business? Here’s how Rapid Transfer stands out in the world of Open Banking!
What are the benefits of Rapid Transfer?
Rapid Transfer is a payment option provided by Paysafe. With it, merchants can enable customers to pay online. Rapid Transfer is a fast, secure, and convenient way for customers to pay, offering a host of important benefits to merchants.
See below for a breakdown of all the ways in which you will benefit by adding Rapid Transfer as a payment option to your website, and why it is better than other Open Banking solutions.
How does Rapid Transfer compare to other derivatives?
Rapid Transfer offers a host of benefits that are not covered by traditional derivatives, such as cards.
- No negative effect on conversion with SCA: Cards and card providers struggle with strong customer authentication (SCA) on mobile.
- Greater protection against fraud: Rapid Transfer offers greater protection against fraud, as it leverages the high-security measures and processes adopted by the customers’ banks.
- Instant settlement: Merchants receive their funds in real-time.
- Lower fees: Unlike cards, Rapid Transfer does not attract additional interchange and scheme fees.
How does Rapid Transfer compare to other Open Banking solutions?
Rapid Transfer exceeds the benefits offered by other Open Banking solutions, such as standard API aggregators. Here’s how it stands out among other third-party solutions.
- Reconciliation: Rapid Transfer provides payment reconciliation support, allowing merchants to make sure that payment amounts match.
- Fund aggregation: Aggregation is supported by our solution, facilitating the collection of local bank transfers.
- Refunds and Pay-outs: Pay-outs and refunds for customers, are automated when using Rapid Transfer. You will never have to worry about or manually deal with any of these.
- Smart settlements: Smart settlements are supported so that merchants don’t need a local bank account in each market.
- Number of markets: A total of 18 markets are immediately available to merchants with one connection and one contract. These markets include the following: Austria, Belgium, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Italy, Latvia, Netherlands, Norway, Poland, Portugal, Spain, Sweden, and the UK.
Is Rapid Transfer safe?
Yes, Rapid Transfer is safe and in full compliance with all data safety standards required by PSD2.
Paysafe is a licensed PSD2 Payment Initiation Service Provider (PISP) guaranteeing a secure payment process to both merchants and customers.
Moreover, Paysafe is also in compliance with the PCI DSS Level 1 security standard, the highest PCI compliance level.
Does Rapid Transfer have PCI DSS fees?
No, Rapid Transfer does not charge any PCI DSS, nor 3D secure fees.
Is registration required of customers?
No registration is needed for customers in order to make use of Rapid Transfer. They can use the service without any delay or difficulty.
Do customers pay directly from their bank account?
Yes, by using Rapid Transfer customers pay directly from their personal bank account, using their usual online banking credentials.
Is Rapid Transfer user-friendly?
Rapid Transfer is designed in an intuitive and accessible way that mimics interfaces that customers are familiar with - such as their personal online banking.
What other benefits are available through Rapid Transfer?
A merchant back-office is available to you immediately upon adopting Rapid Transfer. There you can view all transactions in one account. You can also generate precise reports for each separate merchant account if you have several.
Reports can include activity reports, scheduled reports, and more.