Payment transactions: Innovative products in digital banking

Digital payment transactions – efficiency gains for companies

The digitalization of payment transactions is progressing. Financial institutions are using digital solutions to offer their clients simpler and more secure ways to pay – and Credit Suisse is one of them. QR-bills, eBills, etc.

Payment transactions offering is continuously growing

Efficiency and security are key for Swiss companies in many regards. Entrepreneurs want to handle everyday processes in particular quickly, easily, and securely. Progressive digitalization meets this need and provides the basis for sophisticated innovations that facilitate important tasks for companies.

Credit Suisse, as the Bank for Entrepreneurs, attaches great importance to further developing processes for its clients based on the newest developments on the market and the needs of clients. The comprehensive offering for payment transactions ranges from basic solutions to the most complex multibanking cash management instruments and covers every client need. Credit Suisse specialists support entrepreneurs in the evaluation phase, from needs analysis through to the implementation of the appropriate solution.

Digital payment transactions provide companies with innovative solutions.

Innovative digital payment solutions should make payment transactions even faster, more reliable, and more secure in the future. To achieve this requires sophisticated systems and progressively thinking service providers. Swiss companies and their end clients should be able to issue and pay invoices much more simply in the near future. More transparency in the process also provides digital infrastructure users with a better overview of the flow of money.

The operator of the infrastructure for the Swiss financial center is SIX. The company connects financial institutions, service providers, and consumers, and provides them with innovative and client-oriented products. "Through digitalization, we wish to standardize the technical bases for participants in the Swiss financial center," says Jürg Schneider, Head of Media Relations at SIX. "To this end, we are in constant communication with banks, including Credit Suisse, in order to identify their needs as well as those of their clients.

Boris Brunner, Head of Account & Partner Management at SIX, talks in an interview about innovative payment transactions solutions and the advantages they offer to Swiss entrepreneurs.

Mr. Brunner, the QR-bill will be introduced throughout Switzerland on June 30, 2020. What does this new payment method mean for Swiss companies?

The QR-bill offers several advantages. For example, the biller can print the QR-bill themselves on white paper and, if needed, complement it with digital solutions. A lot of information currently printed on invoices can be input directly into the accounting system using the QR code. In addition, the recipient no longer needs to type numbers from the invoice into e-banking, which significantly reduces the error rate as well as the time and effort spent on payments.

What requirements must a company meet to use QR-bills?

In general, the QR-bill does not impose any new requirements on a company. If the company currently uses software to process payment slips, it needs to be adapted by June 30, 2020. A software adjustment is also required for the creation of the QR-bill. However, this does not need to be done at the same time and can be carried out at a later date.

You said that the QR-bill serves as a link in the transition to invoicing with eBill. Why not directly introduce eBill for the whole of Switzerland?

The biggest challenge of digitalization is always changing people's habits. The first payment slip was created around 110 years ago and the payment slip as we know it today has been around in Switzerland for about 20 years. Therefore, a transition should take place gradually and will always require some time. The QR-bill retains the well-known design of today's payment slip and combines it with digital elements. This makes the introduction of the QR-bill an especially good time to reassess invoicing products and the related processes and to adjust them if needed.

What specific advantages do you see for companies with the eBill solution?

On the one hand, eBill eliminates the error rate for invoice recipients. On the other, this solution saves time and is both secure and environmentally friendly. Furthermore, and I consider this to be the biggest advantage for corporate clients, payments with eBill will be accessible by several people in the future. This means that every authorized person can view or trigger the invoices on eBill via e-banking.

What other digital applications can Swiss companies expect for payment transactions?

One example is b.Link, which is currently being piloted by the banks and SIX, but is already fully matured for users. This is an open banking application. With b.Link, SIX provides the Swiss financial center with a platform offering a standardized interface for data exchange (API) between banks and third-party providers (TTPs), meaning software and service providers. This network is used to exchange payment transaction data among participants, for example, in order to provide innovative solutions for account information and incoming payments.

What does such a platform offer corporate clients?

Well, as a standardized solution for Switzerland, b.Link is very efficient and ensures uniform data exchange. Although some banks, including Credit Suisse, already offer a multibanking solution in online banking, b.Link, as a standardized solution, is much easier for clients to use. In the future, clients will have an overview of all their banking relationships at all times, thereby achieving comprehensive transparency on account and payment information.

Does the gpi Payment Tracker Service also lead to more transparency?

It does. SWIFT international payments are made gpi compatible in interbank payment transactions. With the SWIFT gpi Payment Tracker Service, financial institutions as well as their clients can access more, up-to-date detailed information during the payment process.

Creating harmony in Swiss payment transactions with digital banking

In the future, SIX wishes to keep working on the harmonization of Swiss payment transactions. "Our goal is to standardize the infrastructure and thus simplify the flow of money for banks and their clients," says Jürg Schneider from SIX. For this reason, the company is constantly advancing its solutions in order to expand the offering together with the banks.

Credit Suisse also supports this process and works closely with SIX. For instance, the bank is at the forefront of the b.Link project, is also connected to the SWIFT gpi service, and is strongly involved in the further development of eBill. In this context, efficiency, transparency, and security for the clients are always the primary concerns.

Would you like more information about digital solutions for payment transactions?

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