Mastercard has introduced an innovative new product, Mastercard Move Commercial Payments, designed to streamline and enhance cross-border transactions for banks and their corporate customers.

Unveiled at the Sibos conference in Beijing, this innovative solution aims to address the pain points associated with traditional cross-border payments, offering near real-time processing, predictable settlement, and enhanced transparency.

A Growing Need for Efficient Cross-Border Payments

As businesses continue to expand their global operations, the demand for efficient cross-border payments has surged. According to McKinsey, cross-border payments have been growing at double-digit rates in recent years.

However, banks and their corporate clients have faced challenges such as slow processing times, unpredictable settlements, and a lack of pricing transparency.

Mastercard Move Commercial Payments: A Solution

Mastercard Move Commercial Payments is designed to address these challenges and provide a more seamless cross-border payment experience. Key features of the solution include:

• Near Real-Time Processing: Transactions are processed quickly, reducing delays and improving cash flow.
• Predictable Settlement: Banks and their customers can anticipate settlement times with greater accuracy, enhancing liquidity management.
• Enhanced Transparency: The solution provides end-to-end visibility into the payment process, allowing for better tracking and reconciliation.
• Reduced Counterparty Risk: Mastercard’s global network and risk management capabilities help mitigate counterparty risk, providing added security for transactions

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Benefits for Banks and Their Customers

Mastercard Move Commercial Payments offers significant benefits for both banks and their corporate customers:

• Increased Efficiency: Banks can streamline their operations and reduce costs associated with cross-border payments.
• Improved Customer Satisfaction: By providing faster, more predictable, and transparent payments, banks can enhance customer satisfaction and loyalty.
• Enhanced Competitiveness: Banks that adopt Mastercard Move Commercial Payments can differentiate themselves in the market and attract new business.
• Reduced Risk: The solution helps mitigate counterparty risk, protecting banks and their customers from financial losses.

Addressing the Challenges

Cross-border payments have traditionally been characterised by inefficiencies, such as slow processing times, high costs, and complex regulatory requirements. Mastercard Move Commercial Payments aims to overcome these obstacles by providing a streamlined and standardised solution.

Expanding the Reach of Mastercard Move

Mastercard Move Commercial Payments is part of the broader Mastercard Move portfolio, which consists of a range of money transfer capabilities. This portfolio enables individuals and businesses to move funds quickly and securely, both domestically and internationally.

Mastercard continues to expand its portfolio with a range of specialised credit cards, each designed to meet unique customer needs. From the Milestone Mastercard, which helps individuals build credit, to the Destiny Mastercard, offering flexible payment options, there’s a card for everyone.

Frequent travellers may prefer the Aviator Mastercard, while shoppers can benefit from the rewards programs of the LLBean Mastercard and the Ulta Mastercard.

Even wholesale buyers have a great option with the Sam’s Club Mastercard, and those looking for easy approval can consider the Indigo Mastercard.

With Mastercard’s diverse offerings, it’s no surprise that Mastercard stock continues to perform well in the market, reflecting strong demand and consumer trust.

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Enhancing Corporate Offerings

By adopting Mastercard Move Commercial Payments, financial institutions can:

• Generate new revenue streams: Offer innovative and value-added services to corporate customers.
• Reduce risk: Minimise the risks associated with traditional cross-border payment methods.
• Enhance customer satisfaction: Provide a superior payment experience for corporate clients.

A Successful Pilot

Mastercard Move Commercial Payments has already been successfully piloted in the UK with Lloyds Banking Group and UBS, using Fnality International as the settlement venue. The pilot demonstrated the product’s ability to deliver significant benefits to both banks and their corporate customers.

A Bright Future

Mastercard believes that Mastercard Move Commercial Payments will help banks generate new revenue streams, reduce risk, and improve services for their corporate customers.

By providing a more efficient and transparent cross-border payment system, the solution has the potential to transform the way global transactions are conducted.

As the world becomes increasingly interconnected, the demand for reliable and efficient cross-border payment solutions will only continue to grow. Mastercard Move Commercial Payments is well-positioned to meet this demand and shape the future of international payments.