Innovations in payments are emerging right and left, and while many of the new methods target customers, some have the potential to alter the way corporations make payments.
Cross-Border Payments: Ripe fore Disruption?
Lee Kyriacou, a managing director in payments at consultancy Novantas, argued that wire transfers work pretty well for corporates. “I’m not sure there’s something so fundamentally wrong or inadequate with the system that you’ll see wholesale changes,” he said.
While ACH is cheaper than wire, wire transfers have the advantage of being irrevocable, Kyriacou said. Even if ACH systems move to same-day timing, a payment made by ACH is “not irrevocable,” he said. “You can challenge the payment. A wire is a wire. It’s done. Goodbye.”
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