Mastercard has unveiled a virtual card offering that uses machine learning and straight-through processing for instant payment of supplier invoices.
Mastercard says that slow and inefficient payment processes continue to hamper businesses, hitting cash flow for suppliers while being time consuming for buyers. Other payment methods, like ACH, require buyers to safeguard sensitive bank account information, adding another layer of complexity.
The firm's answer is Mastercard Track Instant Pay, which it says can safely and intelligently authorise an immediate payment to a supplier once they submit an invoice.
Machine learning analyses invoices and identifies those likely to be rejected, enabling the rest to be authorised for payment on the same day they’re received. Using straight-through processing, digital payments are sent directly to a supplier’s bank account via a Mastercard virtual card, with no manual intervention required.
Ron Shultz, EVP, new payment flows, North America, Mastercard, says: "Delayed payments create significant challenges for businesses financially and operationally, especially in today’s environment. Track Instant Pay helps solve these pain points by enabling buyers and suppliers to automate their manual payment processes, unlocking valuable time, working capital and choice."