Why Choosing A Good Payment Service Provider Is Important?
If you’ve been ever wondering how to choose best payment service provider, then please keep reading on. This guide will help you to sort out the good ones and save a lot of money.
Nowadays there are plenty of payment service providers claiming to be award winning, most trusted and so on. But the truth is that majority of them are not awarded, trusted or even good at international money transfers. This is because they lack basic correspondent banking relations, have bad technology or are undeveloped.
Having a well banked and technology based payment service provider, will improve your business operations and save a great deal of costs.
What Is A Good Payment Service Provider? [3 Tips]
There are multiple ways to check the legitimacy and quality of any PSP available. Even more, there are many technical ways to do that. But it is not going necessarily help the reader to perform such technical analysis by him-self.
So I have decided to look into this from a different angle. Here are few quick tricks that will everyone to have a better understanding.
- Management team. First and foremost, it is a must check who is managing the company. You can easily search the employees up via LinkedIn. Moreover, you will be able to see the past experiences of people that run the company. Also the number of all employees, and how often they are changing.
The key people should have relevant banking and payments experience together with perfect reputation. In addition, todays PSPs are highly technical thus a diverse developers team is an advantage. It also signals that you won’t have issues with payments platform in the future.
In the similar vein, you will be able to see where those people are located. That helps in cases when employees are based in one country and EMI license is obtained in another. That should automatically raise some questions. For example, you want to open an account with a UK licensed payment service provider but all employees are based in Russia. Wouldn’t that look strange?
- Media check-up. Media is a good tool to check for negative news on the particular PSP. Maybe this company had received a fine from the regulator for money-laundering? Or maybe they were involved in some scandals? The negative light on company practices is a red flag.
It is extremely important to work with reputable and transparent banking providers.
- Payment routes. PSPs use other banks to route payments for their clients. So in many cases your recipient will see name of bank that routed the payment. Now imagine the payment service provider is using a Russian or Latvian bank to route their payments. Your payment can get rejected by the recipients bank.
If your funds are going through high risk countries, it isn’t a great. So you should ask you payments provider who they bank with. And more importantly, where they keep your money. In other words – safeguard.
A truly good payment service provider will be partnering with a top tier banks such as Barclays or Citi. On top of that, being a wholesale partner of top tier bank enables PSP to access a vast correspondent banking network. Such partnership would also enable extremely good pricing capability which is the key to competitiveness.
What Is The Best Payment Service Provider?
Having in mind all that was said, it is time to reveal, in our opinion, the best PSP – IFX Payments. IFX is has offices in London, Amsterdam, Dubai and Sydney. They are licensed by FCA and in business since 2004. Company has a wide correspondent banking network, fast payment execution and competitive pricing. And most importantly clients funds are safeguarded at Barclays Bank.
The full IFX Payments offering is as follows:
- EU IBAN for all payments and foreign exchange
- Ability to receive payments in 39 different currencies
- Ability to send payments in 100+ currencies to 120+ countries
- Ability to make mass-payments by integrating via API or uploading an excel spreadsheet
- Access to effective currency hedges
- Exchange of currencies using reasonable and competitive pricing
- Process automation via API integration
- Cost-effective solution for low value international payments
- Payment control and audit trails
- Streamlined beneficiary management and compliance processes
- Relationship manager ready to help finding best solution and answer questions
Please do not hesitate to contact for more information or account opening under better terms here.