Matthew Cavalier

Open banking presents a transformative shift in the financial landscape, marked by evolving infrastructure and increased accessibility. Its strengths lie in fostering competition, innovation, and personalised financial services, empowering consumers with greater control over their financial data and facilitating seamless integration of third-party services. However, the journey towards open banking is not without its challenges. User experience remains a key weakness, with concerns over data privacy, security, and the complexity of navigating multiple platforms. While open banking holds immense potential to revolutionise the financial sector, addressing these concerns and enhancing user experience will be crucial for widespread adoption and long-term success. #OpenBanking #FinancialServices #FinancialInnovation

5

🗞️🇬🇧 UK government talks scam ecosystem 🌱 The UK National Payments Vision was published yesterday / overnight in Australia. Among big ticket items like the BoE and PSR refreshing the requirements for UK retail payments infrastructure, were these points about scams (or, APP fraud): 1️⃣ the Payment Systems Regulator (PSR) will commission an independent review of the APP fraud reimbursement rule after 12 months. 2️⃣ government wrote to the technology and telecommunications sectors to call for demonstrable action to reduce fraud taking place on their platforms, and give an update by March 2025. 3️⃣ regulators will work with the financial services sector to understand the different intelligence sharing solutions available and the barriers to their wider adoption.  4️⃣ FCA will lead work to manage existing overlaps between the FCA and PSR’s exercise of their fraud functions. 👀 Now all the cool kids are saying scams ecosystem. 😎 https://lnkd.in/gp9XjMqR 💡💡💡 Thanks Ken Palla for the alert. Jonathan Frost if I revise my stance on the UK, can we be friends? #scams #scamsprevention #appfraud #payments #paymentsregulation

25

11 Comments

Yesterday the Payment Systems Regulator held a session demonstrating the commitment to the first phase of #VariableRecurringPayments and future use case development. The PSR brought together a great panel including Hannah Regan Kate Fitzgerald, Phillip Mind, Jane Moore and Maria Booker to discuss the regulatory, banking, merchant and consumer perspectives of VRP. One topic that resonated with me was the poverty premium faced by consumers who can't pay regular direct debit for #energy and other #utilities. This seems deeply unfair and is something the payments industry can help facilitate change with better payment solutions. The example below illustrates how we at Trustly view hashtag #VRP providing flexibility to consumers who want to mix regular payments with one-off payments. We use an example of someone self-employed with irregular income facing accumulated energy debt. They pay a manageable weekly amount and use the same VRP mandate to pay off the full balance when they can. Furthermore, this solution will be considerably lower cost for Utility suppliers than accepting card payments. If you would like to understand more the full white paper "Open Banking: Creating Positive Energy" is available here https://lnkd.in/eV5rRUvm #fintech #openbanking #energy #payments

27

4 Comments

Do platforms overlook payment tech and leave legacy integration untouched simply because they “just work”? On this weeks episode I sat down with Martin O'Donnell and AJ Davison to discuss this topic and many more, including… - Challenges in the Debt Collection Sector - Digital Approach to Partnerships - Importance of payment within digital journeys - Identifying vulnerability and providing support One of the main goals of our podcast is to shed light on niche industry tech and payment challenges, for both ourselves and our audience. How can we possibly make a difference without dedicating time to share value and market insights with our customers, partners, and prospects? -------------------------- Ps. Throughout our podcast, we've posed the same closing question to every guest, and each response has been really interesting. Martin's answer focused on the concept of the “fear of action” and that stepping out of your comfort zone is where genuine opportunities lie. Head over to Spotify if you like and have a listen 🎧 DebtStream x Acquired.com

13

3 Comments

In today's economic landscape, where retailers like SuperDry and Ted Baker are feeling the squeeze, it's vital for retailers to innovate to safeguard their profits. With online shopping reigning supreme, brick-and-mortar stores must evolve to thrive. Delia Pedersoli's latest piece shines a spotlight on an exciting development: Pay By Bank. This groundbreaking technology simplifies transactions, letting users authorise payments straight from their mobile banking apps with the use of a QR code —no extra downloads required! It's a win-win: consumers enjoy seamless transactions and heightened security, while merchants make significant savings by eliminating interchange and scheme fees. Plus, with real-time processing, retailers can access revenue faster and minimise fraud risks. While traditional tactics like inventory management and rent negotiations are important, embracing digital transformation opens new doors for growth. Pay By Bank is reshaping the retail experience, offering streamlined transactions and enhanced security for both consumers and businesses. Huge thanks to Finance Derivative for spotlighting our take on this game-changing payment trend! #Retailers #Payments #PaybyBank

21

We're thrilled to announce the release of our public roadmap for the motorsales.ai platform by AutoFintech! This is a significant milestone for us and for the independent dealer community. Our motorsales.ai App Store is the first of its kind – not just a collection of tools, but a bespoke solution designed specifically for independent dealers. We understand the unique challenges you face, and our goal is to level the playing field by offering cutting-edge resources that were once exclusive to the big names. For too long, independent dealers have been sidelined by technological advancements and digital tools that cater primarily to larger players. That era is now over. With motorsales.ai, we're celebrating the independence and innovation of smaller dealerships, providing them with the same opportunities and capabilities as the giants in the industry. Check out our public roadmap to see how we're continuously evolving to meet your needs and stay ahead of the curve. Together, let's drive the future of independent auto sales! https://lnkd.in/g9JwRChm #AutoFintech #motorsalesAI #IndependentDealers #TechInnovation #AutoIndustry #PublicRoadmap #DigitalTransformation

13

1 Comment

Interesting comments from Marion King, Trustee of OBIE at the https://lnkd.in/ezwadQYJ yesterday, along with some great data points. “Open Banking together with Real time payments could and should provide a viable alternative to cards” “The Economic model, the pricing mechanism. How is this [open banking] paid for; who pays in the value chain. Because without an effective fair exchange of value the open banking market will not be able to afford consumer protection.” “So where are we now in bridging the gaps . . . . . Standing up the Future Entity, that is the replacement of open banking. That will be a central capability that will manage: the scheme, the trust framework, the standards basically the rules of the game and will liaise and interop with other open data sectors so it goes beyond just payments.” 17% of small businesses use open banking 1.5bn API calls in March 60% of API calls have a payment attached to it, gateway to enabling a transaction or a payment Estimated that UK Open Banking is worth around £4bn of growth and employs around 5,000 people. Tony Craddock Jan van Vonno The Payments Association Adam Cox Sindy Cain Georgina Wilczek

8

Who said cash is dead. What this is really is an indictment on the payments industry that we have not yet managed to create a better solution that entices more people away from cash. The challenge is that whilst there is a section of the economy that still prefers cash we need to mandate acceptance for them on the high street. We only have to look at Scandinavia to see how effective A2A and other solutions can support the move away from cash with a carrot. A key part of this is the Bank ID solution they have, we need a national digital identity in the UK to help drive the move from cash and better solutions that give people better choices. Tony Craddock Neil Harris David Birch The Payments Association https://lnkd.in/e5G-2MEB

22

14 Comments

There is so much activity and whakaaro (commentary) with open banking at the moment it is tricky to stay on top of all the moving parts.  Activity is happening at three layers of the ecosystem right now: 1. The regulatory layer with the Minister introducing the CPD Bill and the CommComm with their proposed designation of interbank payments systems and the retail banking market study. The CPD Bill introduction is a big milestone for open banking and widely supported as being a key legislative plank for a safe open data ecosystem.  The details will be interesting to get across as more information and the select committee process rolls out. 2. The industry layer, where our work in the API Centre continues at the flax roots of interoperability and coordination, standards setting, partnering and implementation.   Our implementation dates for our version 2.1 standards are quickly coming up at the end of May.  For the API Centre and Standards Users, the ground work of the standards and implementation body continues in standards pipeline development, technical and business policy and design, implementation and partnering readiness, customer experience, governance and more. On the partnering framework side we have been kept busy responding to CommComm queries on our authorisation request. Once the dust eventually settles on this process we'll have plenty of insights to share, as it is not a process for the faint hearted that's for sure.   3. The market layer, is starting to pick up some pace and activity. Partnering between third parties and the four large banks is starting to take shape and there is growing group of paytech offerings in or about to be in market. Our open banking showcase next week will highlight the work of some of these super awesome fintech offerings.  Come November with the account information API implementation coming due, we will see more of the personal financial management third parties come into play. We’ve also been out and about speaking and sharing insights on open banking. I spoke at the National Strategy for Financial Capability Conference last week about open banking, what it is and isn’t, global and local developments. The knowledge sharing and education that we all need to do as an ecosystem around safe open banking is not to be underestimated. So the upshot of everything is there is a heap going on and it’s a super busy and exciting time for the open data ecosystem movement in Aotearoa!!! #APICentre #PaymentsNZ

47

2 Comments

UK: Gatehouse Bank has, on the 4th December 2024, announced a new partnership with ColCap Financial UK, a subsidiary of the Sydney-headquartered ColCap Financial Group, for Shariah compliant home finance.

8

This story on the front page of BBC News piqued my interest - the debate on here post the launch of the National Payments Vision, at FTT Fintech and Open Banking Expo centred around the level of consumer protection associated with account to account payments - do we need any? Do we risk too much complexity? How come iDEAL in NL works perfectly fine without it? Yet the moral of this particular story is "they all got their money back from their banks" (also how are these scammers getting merchant accounts..?) https://lnkd.in/e4cFFsGH

6

3 Comments

🇳🇿 New Zealand's Commerce Commission has issued a draft decision to reduce fees paid by Kiwi businesses for accepting Visa and Mastercard payments. 📊 Context: ♦️ New Zealand’s consumers spend about $95 billion each year using Mastercard and Visa products. ♦️ NZ businesses pay about $1 billion in fees to provide those payment options. ✅ The Commission's proposed solution: “We’re proposing a reduction of around $260 million a year to the largest component of the fees charged to New Zealand businesses to receive Visa and Mastercard payments." Surcharges passed onto consumers must reflect the actual cost of payment acceptance. The Commission plans to crack down on businesses that are inflating these surcharges, whether by error or design. The average merchant services fee for small businesses ranges from 1.2% to 1.5%. The Commission has advised businesses paying over 1.5% to seek better deals from their payment providers. How? ⬇️ Contact BB Merchant Services - Australia to review your merchant service costs and secure recurring savings from your bank or payment service provider. This is at no up-front cost to your business, as we work on a 'no saving, no fee' basis. #NewZealand #PaymentsNews #MerchantServiceFees #Surcharging #VisaMastercard #BBMerchantServices

4

Brad Jones, Deputy Chair of the Reserve Bank of Australia’s Payments System Board, spoke today at the AusPayNet Summit on The Future of the Payments System. Here are some highlights: - The current state of Australia’s payments system - while we should recognise that Australia has a world class payments system today, it would be a mistake to assume the same will be true in five or 10 years’ time without a concerted effort from everyone involved in payments. - Account-to-account payments - The announcement by industry of a target date of 2030 for BECS decommissioning has already sparked some useful dialogue. But all stakeholders need a voice, and a broad consensus on some key issues is now essential if Australia’s account-to-account payment system arrangements are going to be fit-for-purpose in the next decade. - Review of Retail Payments Regulation - We received over 70 submissions to our Issues Paper on Merchant Card Payment Costs and Surcharging. We plan to publish submissions on our website in January, and to take a summary of the feedback you have provided to the Payments System Board in March. Following this, we aim to release a consultation paper with potential policy actions around mid-2025. Thereafter a conclusions paper would set out the Board’s final decisions, likely by the end of the year. - Cross-border payments - The cost of sending money overseas from Australia can vary significantly across providers. Banks are generally more expensive than non-bank providers, reflecting the size of the mark-ups they typically apply to the wholesale foreign exchange rate. By contrast, there are some non-bank digital providers offering prices that are around, or a bit below, the G20 target levels. These differences highlight the importance of transparency over prices and of customers shopping around. - The future of digital money - we have made a strategic commitment to prioritise our applied research agenda on innovations in wholesale digital money – namely, wholesale CBDC, tokenised bank deposits and stablecoins. Our most immediate priority is to launch a new research project with the Digital Finance Cooperative Research Centre, known as Project Acacia. Our focus here is on opportunities to uplift the efficiency, transparency and resilience of wholesale markets through tokenised money, assets and new settlement infrastructure. - The future of cash - As cash use has declined, the cost of moving it around the country has increased. A significant effort to put cash-in-transit services on a more solid financial footing is now underway across industry. The challenge now for industry is to deliver more efficient cash distribution services, while meeting the public interest in ensuring cash remains an affordable and viable means of payment for Australians. Thanks to Matthew Joyce, Timoth de Atholia, Michael Reschke and Sally Wong for all their hard work assisting with the speech.

156

6 Comments

Expanding Australians’ choice of payments methods. Well worth a read 📖 ⬇️ … Payments provider ‘Banked’ has teamed up with National Australia Bank (NAB) to drive the adoption of Account-to-Account (A2A) payment solutions in Australia 🇦🇺, whereby merchants receive payments directly from the consumer’s account (rather than being processed through a payment acquirer, for example). Leveraging NAB's market presence, this collaboration aims to enhance payment options for merchants and consumers through the 'Pay by Bank' technology, utilising Australian Payments Plus (AP+) 'PayTo' services. These include online, recurring and split payments 💸 This partnership promises to streamline transactions, improve security, and provide instant refund capabilities, setting a new standard for digital payments in the region 🖥️ 📱 Great to see another solution for lowering the cost of doing business in Australia, especially for smaller businesses 👏 #payments #bbmerchantservices #nab #payto

8

I have been reflecting on my speech from Parking Australia industry awards three weeks ago, where I had the amazing opportunity to present to professionals about the importance of seamless and secure payment and connectivity in the ever-evolving world of parking.   The parking industry is evolving rapidly with the integration of cashless payment systems. This change is more than just a convenience; it’s a leap towards a more efficient and user-friendly experience. By moving away from physical currency, we’re cutting down on wait times, boosting security, and contributing to the development of smarter cities.   Embracing these digital payment methods not only enhances the parking experience but also sets a new benchmark for urban mobility. This technological advancement reflects our dedication to using innovation for societal improvement.   Explore how cashless payments are reshaping the parking industry and leading us into a more connected and efficient future.   I think this new blog from @ Transaction Network Services sums this up nicely. Have a read! https://lnkd.in/gnN4KXU2 #CompleteCommerce #Parking #Payments #Connectivity

72

UK Regulator Plans Cap on Cross-Border Card Fees The Payment Systems Regulator (PSR) is moving forward with plans to cap fees that Visa and Mastercard charge UK merchants for online purchases made by European shoppers. This intervention comes after Visa and Mastercard increased cross-border interchange fees fivefold over 2021-2022, which has cost UK businesses an additional £150-200 million annually. David Geale, Managing Director at PSR, emphasized: "Our findings confirm that, due to a lack of competition, Mastercard and Visa were able to raise cross-border interchange fees to an unduly high level, costing UK businesses hundreds of millions of pounds." Key Points: 💳 Interim Cap: The PSR is proposing an immediate, temporary cap on fees, reverting them to pre-increase levels while further analysis is conducted. 💳 Long-Term Solution: A more permanent cap will be established based on detailed research and industry feedback. 💳 Stakeholder Reactions: ➡️ Mastercard: Welcomes collaboration but warns against potential negative impacts of artificial fee controls. ➡️ British Retail Consortium: Applauds the move, highlighting longstanding issues in the cards payment market. This regulatory move aims to balance competition and fairness, ensuring that fees remain reasonable and that businesses can thrive without undue financial burdens. How do you think this cap will impact the UK payments landscape?  #payments #Interchange #PSR

8

🌐 obconnect Launches the Confirmation of Payee Ecosystem in New Zealand 🇳🇿💼 The New Zealand Banking Association has chosen obconnect, an innovative Open Banking provider, to implement the Confirmation of Payee ecosystem. This move marks a significant step in enhancing payment security and transparency for bank customers. 🔍 Confirmation of Payee is a security feature that ensures that the account name matches the account number before completing domestic payments. This extra layer of verification helps reduce #errors and combat #fraud, providing users with peace of mind when transferring funds. 🏦 Starting in November 2024, obconnect will deliver this service to major banks in New Zealand, including ANZ, ASB, Kiwibank, and many others. This will bolster the security of domestic transactions across the banking ecosystem. 💡 The integration of Confirmation of Payee will improve trust between consumers and financial institutions. It enhances the accuracy of payments, reducing fraud risks, and builds consumer confidence in the Open Banking framework. 📊 Open Banking, through providers like obconnect, not only brings better security but also offers businesses and consumers access to valuable insights, enabling smarter financial decisions. This system allows for customized services, from budgeting tools to personalized loan offers, driving financial inclusion and greater competition. With this development, New Zealand is positioning itself as a forward-thinking hub for Open Banking innovation! 🚀 #OpenBanking #Fintech #ConfirmationOfPayee #DigitalPayments #BankingTransformation #obconnect #FinancialInnovation #NewZealand https://lnkd.in/d5VsRCG4

28

🌟Spotlight on Client Success 🌟 We’re thrilled to share this testimonial from Andrew Leydon, bet365,who sheds light on their positive experience leveraging Worldpay’s tailored solutions. Discover Andrew’s insights on crafting effective payment strategies in the full version here: (insert link) #WorldpayGamingTestimonial #Gaming #Worldpay #Payments #bet365 #casinopayments #igaming http://spr.ly/6046ckpXy

4

1 Comment