Mastercard added account-to-account (A2A) payments to its Mastercard Track service.
The addition of A2A payments also indicated the company’s dedication to delivering on its multi-rail strategy and modernizing business payment solutions.
According to the press release, the launch aimed to solve points of contention experienced by both buyers and suppliers. With A2A payments, businesses would be able to exchange data with improved efficiency while facilitating payments across multiple payment rails. Such rails encompassed the automated clearing house (ACH) and real-time payments (RTP).
As of Nov. 16, the new A2A payments service is available in the United States. By the end of 2021, it would be available to all other regions. In terms of cross-border payments, the announcement stated that they will be on the roadmap of 2021.
“Today, the vast majority of B2B payments are made through bank account transfers,” James Anderson, the executive vice president of global commercial and B2B solutions at Mastercard, said.
“Extending Mastercard Track Business Payment Service to support these transfers is a step on our way to building out the best and most secure B2B payment network in the world,” he added.
Anderson added how the company’s commitment to supporting different payment rails was about increasing efficiencies while leveraging the available capabilities in the market.
Such a milestone was another step away from paper-based frustrations, manual work on reconciliation, as well as incomplete data. The payments process, Anderson noted, would become more digitized for businesses.
Moreover, the announcement noted that approximately 80% of medium-sized to large suppliers saw the sharing of bank account information as a risk. With Mastercard’s service, businesses would receive greater control of their payments while negating the need for sharing such sensitive account data with others.
As companies continue to help modernize businesses, merchants themselves must also take the necessary steps to accept the use of modern technology. Doing so would not only aid in the security of their businesses, but also ensure that their customers are getting the best experience available.
PayFrame is here to support companies and entrepreneurs alike in terms of offering them the best payment processing solutions. To receive further information, be sure to contact a member of the PayFrame team at either 1-888-668-0733 or info[at]merchantbroker.com.