NAB launches PayID Receivables for faster, easier payments

The latest evolution in real-time payments uses unique PayIDs to personalise and streamline the billing process, enabling operational efficiencies for business and better customer experiences.

NAB has moved to the forefront of real-time, account-to-account services with the launch of PayID Receivables to streamline and simplify payments for businesses and customers. Australians are already familiar with PayID as a fast, easy and secure way to make and receive payments by linking their bank account to a mobile number, email or other simple identifier.

NAB’s PayID Receivables service uses this same personalised linking capability to help businesses better manage incoming payments with their customers, all done in real time 24/7 within the security of the banking system.

The new solution generates unique PayIDs as a readily identifiable digital billing address for each customer. The address typically comes in an email format associated with the customer and the business (A. [email protected] for instance) and is designed to be offered as a payment option. Customers can use this PayID to action the payment in their digital banking channel and watch as the transaction settles in real time. It’s like an enhanced version of BPAY, without the need for complex account and reference numbers or any uncertainty while waiting for funds to clear.

NAB Executive, Enterprise Payments, Jon Adams says the PayID Receivables solution builds on the recent launch of NAB’s Pay by Bank with Amazon to put customers at the forefront of today’s account-to-account payments capabilities. “PayID Receivables rounds out our real-time receivables proposition, giving businesses and their customers a simple, low-cost payment solution,” Adams says.

“The unique PayID account addressing makes it simple for customers to confidently pay the intended recipient without entering complex account or payment reference numbers. It gives the customer instant visibility and control over the transaction within their preferred banking channel.” Adams says using a unique payment identification system also helps simplify and automate back-office reconciliation by matching transactions in real time, cutting out cumbersome manual checks and reducing errors.

The solution is easily integrated into existing billing systems and can be configured with payment controls on each PayID, including provisions for fixed amounts, multiple or single uses and set expiry dates, depending on business needs. To develop PayID Receivables, NAB has partnered with Azupay, a leading real-time payments fintech which is providing this cutting-edge technology for use within NAB’s trusted banking environment. Adams says the move to real-time, account-to-account services is part of the evolution of the Australian payments ecosystem as it continues to migrate to the New Payments Platform (NPP) to further enable the digital economy.

There are now more than 26 million PayIDs registered to run on the NPP infrastructure alongside real-time PayTo® services, like NAB’s Pay by Bank, which offer direct debit-style agreements between businesses and customers for a range of use cases including e-commerce and loan payments. Faster payments like this accelerate cash flows and streamline the billing process for business while offering end customers control and convenience,” Adams says.

He says solutions like NAB’s PayID Receivables and Pay by Bank offer transformative growth opportunities for businesses at a time when legacy systems like the Bulk Electronic Clearing System (BECS) used for large scale batch payments like payroll wind down for a scheduled retirement in 2030.

“At NAB, it’s exciting to be moving ahead with this great opportunity to benefit businesses and their customers,” Adams says. “It really is a generational shift in technology which is unlocking strategic advantages across the economy as more businesses make the move.”

One business already benefitting from NAB’s PayID Receivables solution is share trading platform provider IG Australia whose customers are using the real-time functionality to transfer money to their trading accounts.

IG Australia’s Director of Operations, Oliver Imre, says being able to offer this sort of innovative payment method can help customers respond quickly to market opportunities.

“NAB’s PayID Receivables solution enables IG Australia customers to make easy, safe, and real-time payments to their trading account, from the safety of their own bank account,” Imre says. “We see PayID as a real-time, cost-effective alternative to BPAY that enables instant access to funds deposited.”

Imre says another advantage has been the ease and flexibility of integration into the IG platform: “Customers can simply log in and request a PayID, which is generated in real-time via APIs (Application Programming Interfaces). This reduces operational overheads for our business and provides another layer of convenience and control for our customers.”

Please contact your banker for more information on how to get started with NAB’s PayID Receivables and Pay by Bank.

PayID and PayTo are registered trademarks of NPP Australia Limited.