Banks have historically developed their own solutions for the marketplace, using sophisticated information technology (IT) and development resources. But trends in payment technologies are forcing bankers to re-evaluate that strategy.
Payment trends are rapidly evolving with the traditional paper payments declining. For B2B payments, check payments accounted for 51% of the payments according to the research from AFP in 2018. Last year, NACHA estimated that ACH payments grew at almost 10%.
The shift to electronic payments brings unique challenges for your corporate customers. With electronic payments, a corporation has a tedious reconciliation process. A payer sends a payment via automated clearing house (ACH) along with remittance information that indicates when a payment will be deposited and what invoices will be paid. The remittance data comes in an email, an attachment such as a PDF or spreadsheet, or within the electronic deposit file. In most cases, the corporate must manually post the remittance data. This is time consuming, causes extra work, and often leads to delays in customers being credited for their payment (which could lead to credit holds or loss of sales).
Corporates are now seeking out FinTechs like DadeSystems to provide them with Integrated Receivables solutions to automate all payments, including electronic payments. Yet 73% of corporate treasurers believe their bank should be offering integrated receivables.
DadeSystems is a”Bank Friendly” FinTech. What does that mean? If you partner with us, you will not only get our award winning DadePay solution to handle all of your corporate payments, but we will not engage with any corporate that is your customer. Why? It’s simple, we want you to succeed and to provide the treasury management services to your corporate customer!