BofA Expands Its Digital B2C Payment Offerings with Pay to Card
June 10 2021 - 10:00AM
Business Wire
Solution Supports U.S. and Cross-Border Transactions via Bank
Cards
Bank of America is adding a new payment solution to its suite of
business-to-consumer (B2C) payment capabilities. Named Pay to Card,
the solution supports corporates’ growing need to pay consumers
quickly and digitally by depositing funds directly into an
individual’s or small business’ bank account. Pay to Card leverages
the details of a bank card (excluding credit cards) associated with
an account to process the transaction.
A major benefit of Pay to Card is speed. For domestic payouts,
funds are typically available in near real time, within 5 minutes,
while applicable cross-border payouts are often available within 30
minutes. Exemplifying the bank’s leadership in emerging payments
and foreign exchange, Pay to Card is expected to process payments
to around 170 countries in more than 120 currencies.
“As the payments industry continues to evolve, we are constantly
investing and bringing to market new solutions and services that
can help clients become more efficient and relevant to a broadening
set of stakeholders.” said David Kretz, head of Global Payments in
Global Transaction Services at Bank of America. “As the latest
addition to our suite of digital B2C payment options, Pay to Card
offers enhanced speed, flexibility and convenience.”
The launch of Pay to Card comes at a time when companies are
getting closer to their customer base and having to manage an
increasing number of payment interactions. Use cases of Pay to Card
transactions include:
- Payments to contractors and gig economy workers
- Refunds and rebates to customers
- Disaster relief payments
- Financial aid payments for higher education
- Insurance claim payments
“The ubiquity of e-commerce today has fueled a huge demand for
companies to make B2C payments domestically and cross-border,” said
Fernando Iraola, co-head of Global Corporate Sales, GTS, and head
of Latin America GTS at Bank of America. “Pay to Card could bring
substantial efficiencies to our clients while improving their own
customers’ experience.”
The key benefits of Pay to Card payments include:
- Enhanced digitization. Clients want more digital B2C payment
methods to reduce check volumes and the associated manual
processes.
- Speed. Domestic payouts settle within 5 minutes and applicable
cross-border payouts often settle within 30 minutes.
- Greater certainty for cross-border payments. Bank of America
can determine whether a beneficiary is eligible for a payment on
the same day of payment instruction receipt by the Bank, avoiding
uncertainty and reducing delays. Further, an unsuccessful payment
is quickly identifiable and can be resolved faster than other
cross-border payment methods.
- Security. Pay to Card payments are processed through
tokenization. Further, corporates can send digital payments without
needing to store a beneficiary’s bank account and routing
details.
- Consistent global requirements. Debit cards have a standard
number of digits, whereas bank account characteristics vary greatly
from one country to another.
Pay to Card joins the bank’s award-winning suite of payments
capabilities including Global Digital Disbursements and
Cross-Currency ACH. More payment innovations are expected later
this year.
Bank of America Bank of America is one of the world’s leading
financial institutions, serving individual consumers, small and
middle-market businesses and large corporations with a full range
of banking, investing, asset management and other financial and
risk management products and services. The company provides
unmatched convenience in the United States, serving approximately
66 million consumer and small business clients with approximately
4,300 retail financial centers, including approximately 2,700
lending centers, 2,600 financial centers with a Consumer Investment
Financial Solutions Advisor and approximately 2,400 business
centers; approximately 17,000 ATMs; and award-winning digital
banking with approximately 40 million active users, including
approximately 31 million mobile users. Bank of America is a global
leader in wealth management, corporate and investment banking and
trading across a broad range of asset classes, serving
corporations, governments, institutions and individuals around the
world. Bank of America offers industry leading support to
approximately 3 million small business households through a suite
of innovative, easy-to-use online products and services. The
company serves clients through operations across the United States,
its territories and approximately 35 countries. Bank of America
Corporation stock (NYSE: BAC) is listed on the New York Stock
Exchange.
“Bank of America” is the marketing name used by certain Global
Banking and Global Markets businesses of Bank of America
Corporation. Lending, other commercial banking activities, and
trading in certain financial instruments are performed globally by
banking affiliates of Bank of America Corporation, including Bank
of America, N.A., Member FDIC. © 2021 Bank of America Corporation.
All rights reserved.
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Louise Hennessy, Bank of America Phone: 1.646.858.6471
louise.hennessy@bofa.com
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