Under the terms of the agreement, CBA will invest in Paypa Plane to obtain a 20% stake in the company and both will enter into a partnership to enhance payments experience
A Commonwealth Bank branch office. (Credit: Maksym Kozlenko/Wikipedia.)
Commonwealth Bank of Australia (CBA) has partnered with fintech Paypa Plane to enhance the payment experience for businesses in Australia.
Paypa Plane is a bank-grade platform that facilitates traditional scheduled payments and payment initiation through the New Payments Platform Australia’s (NPPA) PayTo.
The collaboration will help the Australian businesses move to PayTo and enable them to digitally offer real-time direct debit payments to their customers.
Under the terms of the agreement, CBA will invest in Paypa Plane to obtain a 20% stake in the company and both will enter into a partnership to enhance the payments experience.
CBA Group executive business banking Mike Vacy-Lyle said: “Our partnership will accelerate CBA’s delivery of PayTo for our business customers and over time, open up other new capabilities to revolutionise the payments experience for businesses and consumers.
“We want to help our business customers offer quality payment experiences that delight their customers, maximise their ability to get paid, and spend less time on administration and collections – leaving more time to focus on growing their businesses.
“Our partnership with Paypa Plane will help us to innovate faster and better respond to our customers’ needs. We’re looking forward to working together to deliver an exceptional payment experience for businesses and consumers.”
Established in 2018, Paypa Plane is a digital payments provider to deliver a complete debit solution using digital payment agreements between the merchant and their customers.
It offers an advanced platform that creates a digital link between a business and a payer to deliver complete transparency during their entire payment procedure.
Also, it is expected to provide significant cost savings and cash-flow assurance to businesses, along with in-built compliance and customer care.
The platform offers enhanced self-management and transparency to consumers or payers.
Paypa Plane CEO Simone Joyce said: “Our partnership with CBA means together we can bring instant momentum to the delivery of PayTo through the combination of our technology and CBA’s customer base – an important step for the industry and the payments ecosystem.
“Our partnership represents an important milestone for Paypa Plane, but it also signals a new era for the way both businesses and consumers will be able to think about and manage their payments – which is an exciting outcome for everyone.”