The bank account is now becoming an online means of payment

One of the most important applications in online and mobile banking is the bank transfer. No matter what the invoice, paying an outstanding debt digitally is part of many people’s everyday lives. Over 57%* of customers use purchase by invoice when shopping online. We have made it our business to make these processes as simple and efficient as possible. “Request-to-Pay” is a solution that takes retail banking to a new level. Answers to the most essential questions about Request-to-Pay can be found here.

What is Request-to-Pay?

Online banking is part of everyday life. This makes it even more important to make the processes surrounding banking transactions as simple and convenient as possible. Request-to-Pay (R2P) is a new way of prompting customers to make a payment. Behind it is an automated scheme through which users can ask their customers to make a digital payment. This makes the traditional process from issuing an invoice to shipping to transfer by the customer much simpler and faster. The customer receives the payment request directly via the preferred mobile banking app and then only needs to confirm it. This eliminates the need to enter payment data and create transfers. The payee is then notified as soon as the payment has been initiated via Request-to-Pay. In short, a prepared and digital payment request is sent to customers, which triggers a payment on the part of the customer as soon as he confirms the request. This is how simple payment can be in the future.

Who benefits from Request-to-Pay?

There are many common payment systems with which users can settle outstanding payments. These include systems that run through the customer’s bank, as well as external service providers through which a payment is managed. Especially in the age of online commerce, it makes sense to make payment as easy and convenient as possible for customers. At the same time, a certain level of security must be provided to minimize fraud or errors in data transmission. A system such as Request-to-Pay is particularly beneficial to industries and retailers where there is a high frequency of invoice and direct debit traffic. The process is significantly simplified by Request-to-Pay, thus saving many resources. Likewise, end customers also benefit from the significantly simplified process. Since Request-to-Pay runs directly in the usual user interface of the customer’s bank, there is no password chaos here as with other payment services. The user is not dependent on an additional app or account and retains an overview at all times.

“The bank account is now becoming an online means of payment”

How secure is Request-to-Pay?

When it comes to online payments, the question “How secure is the payment process?” usually comes up sooner or later. Understandably, processes in which money is transferred are critically examined by users. In Germany, the SEPA credit transfer sets the standards in terms of security and data protection. Since the Request-to-Pay is an upstream payment request and triggers a SEPA credit transfer, these standards can be maintained and guaranteed. In addition, Request-to-Pay is implemented by the banks and rolled out to the users. So the customer has the guarantee that security is provided by the bank. This is not always the case with applications that are not used directly by a customer’s bank.

Request-to-pay is also secure and convenient for payees. This is because the payment assignment of business transactions is almost error-free. Since the data is entered automatically in advance and cannot be changed by the user, common errors are avoided. The examples of errors are already known: An incorrect reason for payment or an incorrect IBAN. This type of pre-allocation eliminates the need to manually assign payments to open invoices.

These advantages result for the user

Request-to-Pay has a variety of benefits. As with all Gini solutions, the focus is on automating and simplifying a process. In addition to basic benefits such as saving resources and increased security of processes, the main benefits are as follows:

Advantages for retailers/eCommerce:

For merchants such as traditional retailers or online stores, request-to-pay results in several positive factors. These include smoother end-to-end processing and reconciliation compared to other solutions. In addition, security, transparency, and convenience can be ensured during the process. The biggest advantage for merchants is the cost savings.

Benefits for end users:

The biggest disruptive factors in online payment transactions are the disclosure of banking information, a time-consuming login process, and the lack of oversight. All these disruptive factors can be overcome by Request-to-Pay: Unlike other payment systems, end users do not have to pass on any bank data. In addition, there is full transparency during the payment process. The process of payment is carried out as conveniently as possible for the customer and on the preferred user interface. This ensures that the payment process is much clearer.

Request-to-Pay (R2P) is a solution that in the future can ensure that the buying experience of customers is made much more positive and easier. The system impresses not only with its innovation, but also with its simple and secure application. You can find out more about Request-to-Pay here.


Author Ambra Rehm

Ambra Rehm

Senior Content Marketing Manager at Gini since 2023. Passionate about Content Marketing and SEO strategies for Software and AI solutions.

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