New Banking Service Available: Open Banking
News •Jul 19, 2021
Traditional online payment systems, such as card payment rails, are still ubiquitous in many parts of the world. However, in a number of applications, they are starting to fall behind in relevance, performance, and user experience.
Starting from July 6, 2021, DECTA is partnering with Volt to offer our clients a gateway to open banking payment initiation service. The service ensures an easy and secure one-stop payment solution, providing direct integration with banks in most of the European countries including the UK, Germany, the Netherlands, Belgium, Austria, Spain, Portugal, France, and Poland. The integration is currently available for over 4,000 banks, and the number keeps growing to guarantee an increasingly wider service coverage.
What is Open Banking
Open banking is an online payment architecture developed in compliance with PSD2 requirements. It allows banks to open their application programming interfaces (API) for authorised Payment Initiation Service Providers (PISP) to develop new apps and services. Payment initiation allows businesses to collect payments from the customers’ bank accounts via direct bank-to-bank push payments.
On the customer side, it will add an option of open banking at checkout. When selected, it will simply prompt user authentication and consent to let their bank allow access to the payment initiation service.
Why Consider Open Banking for Your Business
Setting up open banking for your business has a number of advantages over traditional payment systems, including:
- Faster payment flow
- Reduced risk of fraud
- No chargeback process
- Unified checkout flow
- Higher conversion rates
- Increased customer retention & fewer dropouts
Who is it for
The service will prove useful for a wide variety of businesses across multiple industries and different risk levels. It will be of most relevance to the following types of institutions:
- Merchants using a DECTA hosted payment page
- Merchants with custom Direct API integrations
- Financial institutions using DECTA White Label Payment Gateway wish to offer the service to online merchants and PSPs
Onboarding is straightforward. After the initial setup, the integration will be available via the same API as DECTA Payment Gateway.
If you are looking to update your online business with open banking, or have any further questions, please feel free to contact us at email@example.com.