Paidby Bank, page-83

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15/03/23

21:15

Post #: 66787777
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Originally posted by aes411: ↑

The open banking API call initiation is the third-party provider's (TPP) responsibility (in this case ISXF).
The merchant can't initiate the call unless they are also a licensed TPP (in this case called a Payment Initiation Services Provider - PISP) and are handling their payments themselves. Most merchants can't do that and will need businesses like ISXF to do that for them.

It's a bit complicated in the sense the merchant initiates an API call to the PISP to begin the transaction but it's the PISP that initiates the open banking API calls.

The way I see it payment processing is a crowded space and in open banking, ISXF other than being an early adopter/first mover doesn't possess any advantage over other providers. I could be wrong though. However, the benefit I see is it allows ISXF to branch out of the regulated services sector where they possess the paydentity KYC advantage and gain some market share.

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Thanks but I got less than 10 words in and drowned.

When I buy something I have to choose my payment method. Online this is by clicking on the Paypal option, or Mastercard option or whatever. What I meant was that the PaidBy icon will need to be on the merchants web page for the consumer to click on as a payment method (alternatively, if doing a phone purchase the merchant will need to send a PaidBy actionable link to the customers mobile phone).

I am assuming that if the consumer is not using a PaidBy link as part of the purchase process then ISXf will get no transaction skimming money from the transfer - that money will go to Mastercard, Paypal or Trustly or wherever. Or to one of the many "Pay By Bank" icons that already exist and facilitate bank to Bank transfers for merchants.

I may be confused on what PaidBy is? I assume it will need to be a payment choice icon on a website, but unsure.

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