Mastercard announced the launch of Mastercard Track Business Payment Service that aims to expand and modernize B2B payments. This service offers greater control over payments and data exchanges which enables automated reconciliation and application of all payment options for suppliers.
“When we started work on Mastercard Track Business Payment Service, we looked at the persistent problems in B2B payments and asked ourselves how we could solve them for the benefit of buyers and suppliers,” said James Anderson, Executive VP of Global Commercial Products at Mastercard.
Adding further he said, “We realized that we needed to apply the techniques that work so well in consumer payments: delivering value to both Buyers and Suppliers, embracing standardization, driving scale by working with the most capable partners and by creating incentives to drive behavioural changes by the participants.”
The platform brings efficiency and working capital management for buyers and suppliers across all sizes. Suppliers can systematically manage how they get paid for different invoices from different buyers. Similarly, buyers can manage and optimise in paying suppliers with a better ability to manage cash flow and capture early payments discounts.
The commercial version of this platform is launched in the US using card payments rails. The distributing partners in this platform include Global Payments, AvidXchange, Boost Payment Solutions, Corporate Spending Innovations (CSI), Fiserv, HighRadius, Tesorio, Veem, Velo Payments, VersaPay, and YayPay. The company will add ACH payments later this year and cross-border payments in 2021.
Mastercard is also working with other partners such as CSI, Veem, Velo Payments, and VersaPay, to execute a series of market tests on ACH payments in the US throughout 2020. The platform piloted with Paymentez in Latin America in 2019, and it is readying a commercial launch. Further pilot tests will be executed in Europe, the Middle East, and Africa and Asia-Pacific.