First Data Introduces Disburse-to-Debit Solution for Real Time Payments
September 28 2017 - 8:00AM
Business Wire
Allows businesses to disburse funds in
real-time, directly to a debit card
Faster payouts can increase loyalty and
satisfaction, reduce costs for businesses
The U.S. labor force has changed dramatically in recent years,
with larger numbers of independent contractors and temporary
workers than ever before. Today, more than one in three Americans
are part of the so-called “gig” economy,1 and this growing
workforce expects to be paid when the job is done, rather than
weeks, or even days, down the road. In response to this growing
demand First Data (NYSE: FDC), a global leader in commerce-enabling
technology, today announced the availability of its
“Disburse-to-Debit” solution, a new, low-cost payout option for
businesses that delivers funds directly to a debit card.
While participants in the gig economy, such as ride sharing
platforms or home rental marketplaces, are beneficiaries of
real-time debit payouts, businesses that produce high volumes of
consumer payouts – such as insurance claims, rebates, refunds,
commissions, and more – can also differentiate themselves with this
solution.
In the case of people waiting for insurance claims, seeking
government assistance, or facing a major natural disaster, the
timeline for a check to be cut, mailed, and cashed is little help
to a person’s immediate needs.
“Whether it’s a driver for a ride-sharing company, or a small
business owner needing disaster relief following a hurricane, our
new technology allows businesses to make payments in real-time,”
said Dan Charron, Executive Vice President, Head of Global Business
Solutions for First Data. “This new solution eliminates the
friction associated with traditional disbursement methods, delivers
speed and simplicity to the consumer, and reduces the cost of
payment acceptance.”
Unlike traditional disbursement methods, First Data’s
Disburse-to-Debit technology offers instant “push” payments across
a broad range of debit networks. The solution employs a single
connection offering access to domestic and international debit
networks to deliver funds in real-time. Disburse-to-Debit also
works with prepaid offerings like First Data’s Money Network®
service, which provides a convenient prepaid debit card option for
consumers without traditional bank accounts. Funds are distributed
at a lower cost thanks to First Data’s industry-leading debit
routing technology.
“The digitization of commerce has caused consumers, including
tech-minded individuals working in the gig economy, to expect
convenience in every interaction,” said Ashish Bahl, Head of Global
Debit Solutions at First Data. “The ability to instantly push
payments is a powerful point of differentiation for companies
hiring ‘gig’ workers because, ultimately, it streamlines the
pivotal point of interaction in the relationship – getting paid for
each gig.”
Bahl formerly was the CEO of Acculynk, a technology company with
innovative debit capabilities that First Data acquired earlier this
year. Acculynk strengthened First Data’s leading digital and
eCommerce solutions, which include least-cost debit routing
technology that allows merchants to process online debit payments
through the most cost-effective debit network available.
About First Data
First Data (NYSE: FDC) is a global leader in commerce-enabling
technology, serving approximately six million business locations
and 4,000 financial institutions in more than 100 countries around
the world. The company’s 24,000 owner-associates are dedicated to
helping companies, from start-ups to the world’s largest
corporations, conduct commerce every day by securing and processing
more than 2,800 transactions per second and $2.2 trillion per
year.
1
http://money.cnn.com/2017/05/24/news/economy/gig-economy-intuit/index.html
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Media ContactLiidia
Liuksila212-515-0174Liidia.Liuksila@FirstData.com
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