Modern Treasury has unveiled Global ACH, a service enabling users to send cross-border payments leveraging local rails.
Silicon Valley Bank has signed on to offer its clients the service, letting them to automate international payments using the ACH- and RTP-equivalent payment rails in other countries.
Modern Treasury says Global ACH provide a cheaper and faster alternative to the Swift network and other third party options that apply FX markups. In addition, the firm claims that its offering provides greater predictability in the final amount received by payees because there are no lifting or unknown transaction fees.
The firm says it expect Global ACH to be popular with marketplaces that pay out users and suppliers in international markets; shipping and logistics firms that disburse funds to vendors and suppliers abroad; financial services providers, such as payroll and lenders sending funds to international recipients; companies with large numbers of international suppliers and contractors; and software providers offering accounts payable services for clients paying out globally or facilitating remittances.
"Payments are in the midst of a massive transformation, and it's critical that we support our customers with an international footprint in the same way we support them domestically," says Dimitri Dadiomov, CEO, Modern Treasury. "Global ACH means providing customers with more choice, greater efficiency, and lower costs."