It’s a good week for open banking platform TrueLayer as it has picked up a deal with B2B payments solutions provider Monoova in Australia.
Following this week’s African deal with fintech ‘pop’ star Lemonade Finance, London-based unicorn TrueLayer says it will partner with Monoova to harness financial and identity insights using Australia’s Consumer Data Right (CDR) for data-enabled payments in the Australian market.
“Conventional payments processes typically involve possible human error when entering BSB and account number details, the inconvenience of waiting three days just to find out that a payment was dishonoured, and a risk of fraud,” says Christian Westerlind Wigstrom, Co-Founder and CEO of Monoova.
He adds: “Most of this goes away with the new real-time PayTo transaction type. For instance, you are immediately notified if a transaction fails. That’s a huge advantage over direct debits. But the real game-changer here is using CDR data to reduce the risk of failed payments altogether. That saves businesses time and money.”
TrueLayer will help with all this and is an Accredited Data Recipient authorised by the Australian Competition and Consumer Commission. This means Monoova’s clients will get customer-permissioned bank data obtained in accordance with the CDR Rules.
Brenton Charnley, CEO Australia & New Zealand of TrueLayer, comments: “Some of the biggest benefits will be for higher value and higher risk transactions such as buying a car or a boat, investing in shares or crypto, and cross border remittances.”
The two firms note that other use cases for data plus payments include customer onboarding, account verification, balance checks, and verified instant payouts and withdrawals for e-commerce, wealth and gaming apps.
TrueLayer seems to be keeping very busy.
As reported last month, TrueLayer was one step ahead of others as its VRP API became available for customers to use for both sweeping and non-sweeping use cases. This follows on from December 2021 when NatWest made the industry’s first open banking VRP with the help of TrueLayer. (Last week, in an “industry first”, NatWest said it signed agreements with TrueLayer, GoCardless and Crezco to offer VRP as a new payment option for businesses and consumers.)
In other open banking news this week, London-based Yapily says it has signed an agreement with credit bureau company SCHUFA to buy German fintech firm finAPI.