The pandemic brought us many things. Many challenges of course, but there were also a few bright spots that we like to refer to as COVID silver linings. One silver lining was the increasing demand for innovative payment solutions and the switch to digital payments becoming a necessity for businesses—seemingly overnight.
Any business that was teetering on the edge of diving into modern times or staying back with cheques and antiquated systems really had no choice. They were forced to keep up with the rising demand for timely—and seamless—payment solutions.
So, where do businesses go from here? We’ve put together a guide that dives into one of VoPay’s most sought-after payment solutions: e-Transfer for Business.
With the addition of new features to the service over the past few years, the service powered by Interac Corp. has enabled the switch from traditional paper payments to digital payments, a smooth transition for enterprises across Canada.
Here are some stats about our partner – Interac Corp.- and how we reached this point in 2021.
Interac was launched in 1984 through the nonprofit Interac Association, a cooperative venture between five financial institutions: RBC, CIBC, Scotiabank, TD and Desjardins; by 2010, there were over 80 member organizations. Since then, year after year it has grown in strength and has been a staple in Canadian’s lives.
In 2020, $489B was moved across more than 6.5B transactions on the Interac network. Similarly, businesses were receiving 21% more Interac e-Transfers in August 2020 compared to the previous February.
Additionally, the Bank of Canada designated Interac e-Transfer as a prominent payment solution, which means the Bank will ensure it remains a safe, practical and effective method of payment in Canada.
Trusted Payment Method
By utilizing a payment method already trusted by millions of Canadians, businesses have a unique opportunity to take advantage of digital payment’s skyrocketing growth by integrating e-Transfer for Business solutions into their existing software or simply replacing cheques as their primary payment method.
In this guide we will cover the following:
- What is e-Transfer for Business?
- Bulk e-Transfer Payments Explained
- Request Money Feature
- Inbound e-Transfer
- Common Use Cases
- Benefits of e-Transfer for Business
- VoPay Integration
What is e-Transfer for Business?
Interac e-Transfer is a convenient way to send, receive and request money to and from individuals and businesses across Canada in a safe, secure and quick manner. The funds are transferred from one account to another, in near real-time.
Given the previous stats, most people are familiar with how Interac e-Transfer works on a personal level. However, a more robust solution and a payment processor are required for a business processing large quantities of payments with higher amounts. VoPay’s e-Transfer for Business is a solution powered by Interac that enables businesses and enterprises to Send (Payouts), Collect (Request) and Receive (Inbound) transactions using only an email address. The service is accessible through VoPay’s API integration or online portal.
Compared to traditional banking solutions that generally cater to small business volumes, VoPay’s commercial or enterprise-grade e-Transfer for Business solution allows enterprises to send unlimited e-Transfers in near real-time with a $25,000 limit for each payment.
We will break down the three payment flows in the next section starting with Payouts:
Bulk e-Transfer Payments for Businesses
Bulk Payables allow you to send payments to multiple recipients using an easy and secure API or file upload capability supporting commercial payments and high-volume transactions. It can help streamline loan payments, payroll and supplier payments for your business. It also ensures that the payment is sent to the right recipient, minimizing the chance of payments being lost or delayed in the mail or sent to the wrong account. Businesses can easily access transaction histories, connect to existing accounting software for advanced reconciliations and customize e-Transfers payment flows to suit their business model.
Use Case: Optimize the insurance claim payout process and maximize customer satisfaction by sending e-Transfer payments directly to customers’ email or phone. Funds will be available in the receiving bank account within minutes.
Take more control over your cash flow thanks to real-time bulk e-Transfer.
Nobody enjoys chasing customers for payments, not to mention spending time and human resources on the process. Request Money empowers businesses to consolidate accounts receivable workflows by simply sending single or bulk payment requests to customers. Bulk Requests are created by uploading a secure file or API. Payment requests are sent by email or text and can be scheduled on a recurring basis.
Use Case: Lenders can offer a simple and convenient way for customers to make loan repayments using Request Money. The lender can set up a one-off or recurring requests for payment and exceed customer expectations by utilizing a service they are already comfortable using. Once the request is accepted (see image below), lenders receive funds in minutes.
Request Money payment flow is as follows:
With VoPay Inbound e-Transfer you can receive funds from your clients into your VoPay account conveniently and securely. The client initiates the transfer by sending the funds to your personalized email account and the transfer will automatically be posted in VoPay’s system. Similar to sending a regular e-Transfer payments, end customers can send any amount to the email address provided. VoPay reconciles each payment using ERP or accounting software integration.
Common Use Cases for e-Transfer
The e-Transfer for Business solution can be used for a wide range of purposes, with payment flows customizable to suit business needs. Some common payment use case includes:
Earned Wage Access: Employers can send real-time payouts of earned wages to workers’ eligible debit cards
Lending: Lenders can offer a real-time loan funding option and exceed customer expectations when they need money quickly
Insurance: Optimize the insurance claim payout process and maximize customer satisfaction
Gig Economy: Companies can give gig workers the option to receive speedy payouts for their work
The Benefits of VoPay’s e-Transfer for Business
✓ Simple Customer Onboarding
No banking information is required from the recipient—simply their email address.
✓ Near Real-time Funding
Funds are sent and received in near real-time. Transaction volumes are unlimited and businesses have the option to send bulk payments. Recipients will have access to funds within minutes.
✓ Advanced Reconciliation
Simplify reconciliation by including invoice number, purchase order and payment details with each payment. Businesses receive a real-time acknowledgment that funds are deposited in addition to daily status reports.
✓ Commercial Funding Limits
Send unlimited transfers of up to $10,000 per payment, to multiple recipients at the same time.
✓ High-Level Security
Our data standards are fully compliant with bank security standards with transaction data encryption through tokenization technology. Comply with ISO 20022 global standards with rich remittance data, enabling interoperability for ease of integration between ERP systems and accounting applications.
Simple Integration with VoPay API
VoPay’s e-Transfer payment services are made available through a comprehensive and customizable API layer that integrates seamlessly with your current infrastructure. Our innovative solutions can be used out-of-the-box or fully integrated with partners using our white-label API. All payment solutions are fully customizable, allowing businesses to manage the payment flows and branding.
VoPay facilitates millions of dollars in e-Transfers every month. We serve all businesses that make payments, from lenders to insurance companies and subscription platforms to property managers. Thanks to our partnership with Interac, our e-Transfer for Business solution is transforming the way your business can send and receive payments. Not only is it a safe and secure payment solution for all parties involved, but it is also now a necessity. Make VoPay’s e-Transfer for Business your COVID silver lining.
If your business is ready to take the next steps in integrating a seamless payment solution, contact a VoPay product specialist today to learn more.