The term “Local Bank Transfer” has been surfacing with greater frequency in the payments industry. From the name, it’s clear that the term refers to a way to send funds into a local bank account. But what exactly is a Local Bank Transfer?
Not surprisingly, there are varying interpretations of what a Local Bank Transfer is. As a company that is the leading global specialist in Local Bank Transfers, we at Transpay are often asked to discuss the term. We define Local Bank Transfers as a structure that enables payouts into a recipient’s local bank account, with a high degree of security and a low degree of cost and hassle.
At Transpay, we even take the definition one step further: For a payout to truly qualify as a Local Bank Transfer, it has to travel through a bank network that is cultivated by a payouts provider. That network should be built specifically to get funds into bank accounts in the most cost-effective and timely way possible. A good bank network seamlessly weaves together thousands of banks, that have agreed to partner together, thanks to a contract negotiated by your payment provider.
It’s easy to see why Local Bank Transfers are so popular. They’re an intelligent way to give you the biggest bang for your payments buck. It helps that recipients appreciate their ease and convenience, too! As companies continue to prioritize global expansion, many are looking for a payments method that is able to scale along with their company – in any corner of the globe. This is where Local Bank Transfers excel.
Where there is a bank, there can be Local Bank Transfers. As the gig economy continues to expand at a rapid pace, recipients expect payments delivered at the speed and cost-efficiency that is an earmark of the gig economy. The bypassing of the SWIFT Wire Network and the existence of a new structure for sending money around the world is one of the most powerful aspects of Local Bank Transfers. The potential is enormous!