23 October 2017
Register now

Bacs and CheckFree to create UK bill payment utility

15 April 2004  |  7543 views  |  0 online shopping

UK clearing house Bacs is teaming up with CheckFree in a joint venture to promote the adoption of online bill presentment and payment (EBPP) services to British banks and consumers.

The new company has been established to provide UK consumers with consolidated access to electronic bills and statements via bank Websites. It combines Bacs' trusted position as a bank-owned clearing house in the UK payments market, with CheckFree technology and experience of delivering similar services in other markets, notably the US.

Marion King, Bacs chief executive says: "This is a significant move for BACS in its drive to grow its business and add value and service to its customers."

She points to recent independent research which found that over seven million UK adults regularly bank online, while three million of those claim to already view and pay some bills online. Visiting disparate supplier sites or paying bills without access to details is seen as confusing or cumbersome, so the option of viewing and paying through one consolidated bank site already appeals to 68% of online bankers.

Martin Kearsley, managing director of the new company, says: "There are significant business advantages for billers and banks to adopt the service, and I believe it will change the way consumers will manage their money."

In December last year, CheckFree and Bank of America were forced to rewrite a ten-year contract for the supply of electronic billing and payment services in the light of rapid consumer uptake and positive future growth-rate projections. In its first quarter results statement released yesterday, Bank of America noted that online bank and bill pay customers were 21% more profitable than offline customers.

The UK market, with its existing culture of direct debits and entrenched banking relationships, has so far proved a tougher nut to crack. Worldbills, a company established by Unisys' cheque processing subsidiary IPSL in October 2002 with the aim of created a national EBPP utility for the UK, has yet to make any concrete progress. Worldbills itself was looking to take up the reins from a failed bid by payment umbrella body Apacs to establish a similar bank-centric EBPP (electronic bill presentment and payment) service.

The Bacs/Checkfree venture has yet to sign any banks or billers for the service, although a spokesman says the partners expect to have at least two banks onboard by year-end.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Bank of America grows online banking and bill payment user base

Bank of America grows online banking and bill payment user base

14 April 2004  |  5896 views  |  0 comments
CheckFree and Bank of America rewrite EBPP contract

CheckFree and Bank of America rewrite EBPP contract

05 December 2003  |  6014 views  |  0 comments
Yodlee aggregation model holds out hope for EBPP consolidators

Yodlee aggregation model holds out hope for EBPP consolidators

12 August 2003  |  7374 views  |  0 comments
Banca Eurosistemi selects CheckFree for Italian EBPP portal

Banca Eurosistemi selects CheckFree for Italian EBPP portal

09 July 2003  |  3790 views  |  0 comments
Banks must make EBPP a top priority says Gartner

Banks must make EBPP a top priority says Gartner

20 February 2003  |  6129 views  |  0 comments
UK billers warm to electronic bill presentment

UK billers warm to electronic bill presentment

20 February 2003  |  3914 views  |  0 comments
Rise in EBPP but US consumers still prefer cheques

Rise in EBPP but US consumers still prefer cheques

04 December 2002  |  3924 views  |  0 comments
EBPP consumers more loyal and more affluent says research

EBPP consumers more loyal and more affluent says research

25 November 2002  |  5577 views  |  0 comments
CheckFree develops natural language EBPP service

CheckFree develops natural language EBPP service

06 November 2002  |  4012 views  |  0 comments
UK banks and billers explore national EBPP proposals

UK banks and billers explore national EBPP proposals

18 October 2002  |  5383 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Register nowvisit www.innotribe.comvisit www.vasco.com

Top topics

Most viewed Most shared
Mastercard to roll out blockchain APIMastercard to roll out blockchain API
19554 views comments | 28 tweets | 42 linkedin
HSBC partners Bud for open banking trialHSBC partners Bud for open banking trial
15228 views comments | 23 tweets | 32 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
10995 views comments | 12 tweets | 23 linkedin
Eight banks form joint venture to launch blockchain trade platformEight banks form joint venture to launch b...
9056 views comments | 14 tweets | 28 linkedin

Featured job

Find your next job