The solution leverages Mastercard’s open banking technology to enable consumers to share their financial data to pay third parties directly from their bank account using traditional ACH banking rails. This process eliminates the need for customers to manually enter their banking information when completing online transactions, while billers no longer need to risk storing sensitive financial data.
Pay-by-Bank is also integrated with Mastercard’s Smart Payment Decisioning Tools suite, which through the application of data analytics and machine learning can determine the best time to initiate payments in order to reduce the risk of returns due to insufficient balance and minimise the potential for payment failures.