ProcessOut and Trustly Partner to Simplify Bank Payments for Merchants

ProcessOut and Trustly partnered to simplify bank payments for merchants across Europe.

By integrating ProcessOut’s payment orchestration platform and Trustly’s pay-by-bank payment network, the companies are making it easier for merchants to offer Trustly’s instant bank payment solutions, according to a Thursday (March 6) press release.

The combination enables merchants to add Trustly to their payment stack with one click and ensure the highest chance of success for transactions with features like dynamic failover and data-driven insights, the release said.

Instant bank payments enable businesses to “improve conversion rates, reduce costs and expand into new markets with ease,” ProcessOut Head of Payments Pierre Lafanechaire said in the release.

These payments also help businesses by “reducing reliance on costly card networks and minimizing chargeback risks,” Jérémy Pons, chief commercial officer of Southern Europe at Trustly, said in the release.

Pay by bank is gaining popularity among consumers, according to the PYMNTS Intelligence report “Tracking the Digital Payments Takeover: Consumer Familiarity Controls Account-to-Account Payment Growth.”

The report found that 36% of consumers in the United States use this payment method. Asked to name the most important reason for using pay by bank, 34% of consumers cited convenience, 24% cited ease of use and 15% cited fast availability of funds.

For merchants, pay-by-bank payments, which are typically processed in real time, offer an immediate receipt of funds, improved cash flow and minimized risk of bad debt, according to the report.

Part of the appeal of pay by bank from the merchants’ standpoint is that they can save roughly 1.5% that they pay on the cost of payment processing, Trustly founder and CEO Alexandre Gonthier told PYMNTS in an interview posted in February.

“Open banking gives us granular visibility into a consumer’s risk profile, and that gives us the ability to compress the pricing that merchants are charged,” Gonthier said.

Trustly partnered with digital mailbox provider Kivra in February to streamline automatic payments and with Spreedly during the same month to give businesses using Spreedly in the United States access to Trustly’s pay-by-bank capabilities.