Business is always changing. As customers become increasingly tech-savvy, their expectations increase too. Companies must adapt to these demands in order to remain competitive. One way to provide convenience and transparency with your customers is to utilise the faster payments system for financial transactions. Not only will it help you to retain more customers, but it is also a useful financial tool for you.
What is Faster Payments?
Just like the name insinuates, faster payments enables you to make electronic payments very quickly. Instead of having to wait a number of days for payments to be completed, they can instead be done in a matter of hours.
To make a faster payment transaction, there are several options. First, a company needing to make single immediate payments can be initiated through the bank if this service is part of the company’s corporate banking package. To use this type of transaction, you would need to contact your bank to find out if this service is available.
Another option is with a proper software system, as then payments are not dependent upon banking hours. Your company can make faster payment transactions without depending on the bank if you have a faster payments software module in place.
The Benefits of Using Faster Payments
Faster payments allow banks, customers, and businesses to move money quickly and efficiently. The process is streamlined and transparent. You can quickly trace the money to make sure it went to where it needed to go, rather than waiting for a bank confirmation. With greater visibility, any errors can be caught and corrected quickly.
Not only are faster payments handled swiftly, they are also conveniently done, especially if you have software in place. If you suddenly remember that you were supposed to transfer some money to someone on that same day, you can do it without worrying about delays.
This system is also a very secure way to send money. Banks and building societies must meet certain security criteria to process them. They also have fraud protection to protect against unauthorised payments.
Are There Faster Payments Limits?
There are certain restrictions with faster payments, however, much of it depends on the bank and the type of account. Some banks are directly connected to the faster payments service while others are not. All banks and building societies can send and receive faster payments, but limits may vary depending on the bank. In general, payments of up to £250,000 can be sent through the faster payments service.
Why Your Customers Will Appreciate This Service
It is a well-known fact that people do business with those that they know, like, and trust. What better way to earn the trust of your customers than to credit their accounts quickly? By using the faster payments service, you can earn your customers’ trust because there will be no perception that you are holding or delaying the release of funds. Plus, if they are at all familiar with the faster payments system, then they know it is a secure way to handle financial transactions.
Customers will appreciate receiving their money quickly. If you need to credit a customer account, with faster payments you can do so almost instantaneously. Customers do not want to wait three or more days to collect their money if they do not have to. So, when you can provide them with a service in which they receive it on the same day it is requested, you have a very good chance of retaining them as customers.
They will view your company as one that makes customer service a priority. Creating an environment where customer service is important fosters loyalty from customers. They will know and like you and your company because they feel that their happiness is important to you.
If you want to retain customers, keeping up with the times is important. The statistics of faster payments services are proof that this service is not only popular but will be around for some time.
In the year 2014, 1.1 billion payments were processed through faster payments. This number increased to 1.2 billion in 2015. Keep your customers for many years to come by using the services they have come to know and expect from companies.