Tribe Payments has announced that its new Bankbox service, which allows for direct integration into payment rails for payroll and accounts payable (AP), has been completely implemented by bulk payment company Telleroo, according to reports.
The technical integration was finished in about a month, and now Telleroo has streamlined the way it performs bulk payments for bookkeepers and accountancy companies, which in turn helps to simplify workflow for small and medium-sized businesses (SMBs).
Bankbox helps businesses get access to banking operations, payment rails and a bevy of other options that would normally only be available if a business directly integrated with a bank.
Essentially, the service aims to cut out the middleman and to simplify payment processes, ultimately helping SMBs to be more efficient and reduce costs.
Bankbox lets Telleroo’s accountancy firm clients make payments directly from payment and payroll software like Paycircle or Xero, eliminating the need to manually process payment runs or rekey the info. The processes can be set in advance to ensure that payments are sent in time.
“Gaining access to banking systems can be a nightmare in terms of technical integration and the reams of paperwork. We felt it shouldn’t be this hard to get access to the banking systems that can make a real difference to accountancy firms and the SMEs they serve,” said Michael Riedler, MD and co-founder of Telleroo. “Bankbox means we have direct access to these systems and can enable [simple] payroll and supplier payments for our accountancy customers – they will save hours previously wasted on manual input.”
The issue is a contentious one, because the B2B and payments industries are working toward faster payments for payroll and AP, but there must be alignment with the government. In fact, the Fed was involved in that very issue earlier this year.
PYMNTS CEO Karen Webster wrote about the issues this created within the industry: “First, there was the Fed’s decision to slow faster payments progress via Same-Day ACH because it wasn’t ready to approve another processing window during the day. Then came PayPal’s debut of Instant Transfer to Bank,” Webster wrote. “This new feature, available to PayPal customers in good standing, leverages the company’s partnership with Chase, and Chase’s connection to The Clearing House’s (TCH) Real-Time Payments (RTP) network, to move money instantly into the bank accounts of consumers and SMBs.”
Webster argues that the Fed has more than just a “passing interest” in how faster payment systems in the country are run. If faster payments do become a reality, “whether via the Fed or via the TCH’s RTP network or both, (it) could be a big threat to how banks monetize the movement of money between senders and receivers and their depository accounts,” she noted.
Banks and card networks could have a lot to lose if it becomes free, or almost free, to move money around.