Visa and ClearBank Form Real-Time Payments Partnership

Visa is teaming with ClearBank on a partnership centered around issuance and money movement solutions.

“By utilizing ClearBank’s cloud native banking infrastructure, Visa could soon benefit from its real-time payment processing, enhanced transaction visibility and a streamlined reconciliation process when processing transactions in the UK and Europe,” the companies said in a news release Tuesday (Oct. 29).

The partnership also includes plans for Visa Direct, Visa’s money movement solution, with ClearBank looking to issue Visa cards to customers in the U.K.

“ClearBank has seen strong growth in the U.K., and we are thrilled about the prospect of collaborating with them across multiple areas including issuing Visa cards and enabling real-time international money movement,” said Mandy Lamb, Visa’s managing director for the U.K. and Ireland. “This is a great example of how we can work with partners to deliver the tools and services they need to help them expand their business.”

The collaboration comes nearly three months after ClearBank announced it had expanded from the U.K. to Europe after receiving a banking license in the Netherlands.

In other news from the world of real-time payments, PYMNTS wrote last week about the desire among consumers for instant payments from the finance and insurance sectors.

“Swift payouts are essential in the finance and insurance industries, where delays can severely impact customers,” that report said. “The aftermath of natural disasters exemplifies this urgency; payouts for such events in the U.S. exceeded $275 billion from 2020 to 2022 — prompting a need for immediate funds.”

The report — citing data from the PYMNTS Intelligence/Clearing House collaboration “Fast-Tracking Funds: Finance and Insurance Accelerate Payments,” also notes that more than a quarter of policyholders reported switching providers to access faster payouts, highlighting a significant gap in service delivery. 

Almost 40% of insurers aren’t offering preferred payment options, leading customers to look for alternatives. 

“The evolving expectations of customers are clear: they want faster, simpler payment options,” PYMNTS wrote. 

“According to the report, 61% of millennials expressed high interest in real-time payments, indicative of a broader shift toward instant transactions. Organizations implementing these systems reported substantial benefits, with 77% noting an improved customer experience. Consider 54% found that real-time transactions alleviated issues surrounding urgent payments.”