Open Banking was introduced in 2018 by the Competition and Markets Authority to allow licensed financial service providers to share customer data. Payit uses the Open Banking infrastructure to allow customers of UK banks to pay for products and services offered by retailers who use the service, which is targeted at mid to large corporate companies.
With customers of the UK’s nine largest banks eligible, consumers don’t need to bank with NatWest to take advantage, and can use the service by selecting the Payit button on the merchant’s payment page and then selecting the bank they wish to pay from.
The consumer is then automatically redirected to their bank’s mobile or online banking to complete the payment. Payit then provides settlement to the merchant within two hours via faster payments.
“We are thrilled to launch Payit by NatWest, allowing mid to large businesses with an online presence to accept payments directly from their customers’ bank accounts in near real-time. We are especially pleased to have used Open Banking technology to achieve this, allowing customers of the UK’s main banks to use this new payment option,” said Paul Thwaite, CEO of Commercial Banking at NatWest.