What is the difference between Pay by Bank and PayDirect?
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Payments API
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PayDirect
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Product
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Open Banking payments
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Open Banking payments and Payouts.
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API(s)
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Payments API
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Before: Payments API + Payouts API
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Initiated through...
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Open Banking
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Open Banking & Payment Schemes (e.g. Faster Payments in the UK and SEPA credit in the EU)
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Features
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• Instant payments
• Payments V3 (private beta)
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Pay by bank features plus:
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Countries available
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• Live: UK and EU
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• Live: UK and EU
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Verifying a user
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Data API + Payments API
Users have to go through two verification processes.
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Use cases
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• Account top-up
• One-off online payments
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• Account verification
• Account top-up
• One-off online payments
• Withdrawals
• Refunds
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Industries
(product fit)
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• E-commerce
• iGaming
• Wealthtech
• Remittance
• PSPs
• Fintech companies who want to accept payments
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• iGaming
• Wealthtech
• PSPs
• e-Commerce
• Marketplaces
• Remittance
• Cryptocurrency
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Pain points that the product addresses
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• Slow deposit settlement times
• High transaction fees
• High fraud rates (including chargebacks)
• Low conversion rates
• Customers lack full control of the end-user experience
• Complex integration
• Struggle to gain trust in their integrations
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Additional pain points addressed only by PayDirect:
• Slow withdrawal settlement times
• High operational costs (e.g. compliance, manual reconciliation)
• Lengthy manual onboarding processes
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Benefits
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• Preferred by end-users - 1 in 3 choose instant bank transfers.
• 40% higher conversion than cards across the whole checkout
• Increases payment success to up to 97.5%
• SCA compliant with instant, biometric authentication using the bank app
• Removes fraud and chargebacks and saves 0.5 -1% of revenues.
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All core benefits from Payments API product, plus:
• Verifies users in seconds and accelerates KYC and AML processes.
• Instant payouts that increase customer retention.
• Reduces operational costs - automates manual processes such as issuing refunds or reconciling payments
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More
Check out more information about both products here: