We believe there are five essential things that every payouts provider should do for their clients. Here they are, in no particular order. Can your payouts provider do all of these?
Simplify Your Life
When you have a long trip to make, would you rather fly nonstop, or via multiple connecting flights? It’s the same idea when it comes to payouts. When you rely on a payouts method that involves multiple intermediaries to reach its destination, you’re unnecessarily complicating your life. And we’re not only referring to the correspondent banking system here – even some payouts providers use intermediaries to transfer funds around the globe. Multiple intermediaries create multiple opportunities for errors, fees and delays. Simplify your life with a Local Bank Transfer provider that owns its network and sends your funds, without delays, to their destination.
Lower Your Payments Risk
The more global payments you send, the more you are prone to risk. Varying banking requirements across countries and a complex regulatory environment demand will keep your payouts provider on its toes in terms of compliance and regulation. When it comes to global payments risk, why put yourself in a potentially hazardous situation? The industry’s gold standard when it comes to payouts providers is for the provider to own its network and employ its own in-house compliance team. That team should be focused on complying with Anti-Money-Laundering regulations, monitoring suspicious activity, and preventing fraud losses and reputational damage.
Enhance Your Brand
More and more often, savvy payers understand that it’s important that recipients connect with the payer’s brand and NOT with the brand of the payouts provider. Ask your Local Bank Transfer provider if they are willing to offer the service on a white-label basis so that recipients see your brand, rather than the payouts provider’s brand. The answer should be “yes.”
Cover a Wide Range of Geographies
A Local Bank Transfer provider with a strong and comprehensive network will ensure that your payouts will reach even the most challenging markets where local banks are less integrated into the global banking network. For example, in countries where there are complex local regulations, a payouts provider with good connections into the local banks is key to making sure your payouts are delivered to recipients efficiently and cost-effectively. Often, you can improve operational efficiencies when you work with a single payouts specialist that has direct relationships with payouts partners across a wide range of geographies, including markets that are hard to reach in payments terms.
Help You Expand Your Reach
This is where it pays to think ahead to your strategic plan for the next year, three years, or even five years. Where will your global expansion plans take you? Is it likely that you will need to pay out recipients in Vietnam? The Philippines? India? Make sure to ask your payouts provider about their network in those countries and get down to specifics. For example, in countries where cash is still prevalent, you’ll want your recipients to be able to pick up their payouts in cash, in a location that is convenient to them. With the necessary bank partnerships in place, Local Bank Transfers are often the simplest and most direct route into developing economies.