Online Payments 'Shackling' B2B Commerce
IDC confirms online B2B commerce to be stunted by the lack of automated payment solutions, with only 10 per cent of registered participants at e-marketplaces, being active traders. In short, the limitations of current payment options, such as purchasing (p-cards), debit and credit cards, mean that over 70 per cent of B2B payments are still made with paper checks. P-cards have twoMasterCard's SmartLink program lists transaction data for review on a day-to-day basis, within 48 hours of installation on a firm's R/3 application server, instead of collating this data for review at month's end. By summer 2002, the New York Clearing House (NYCH) plans to offer the first Web-based global payments service for B2B commerce, including clearing and settlement. Later this year, NYCH will adapt its core payments platforms to support a Universal Payment Identification Code (UPIC) to protect against fraud and enable businesses to encode confidential data such as bank account and bank routing numbers.
The Worldwide Automated Transaction Clearing House (WATCH) is similarly developing a low-cost system for batch-based international payments generated by cross-border eCommerce. Visa has also Related Links
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