- Consumers do not trust companies that request bank transfers
- The United Kingdom SMEs lost £ 6.15 billion directly, and £ 31.4bn indirectly, in 2024
- Paying for bank is safe, fast and helps prevent fraud
The Tink Open Banking Platform says that SMEs in the United Kingdom only lost £ 6.15 billion in direct sales last year because consumers do not trust manual bank transfers, with other £ 31.4 billion in indirect losses associated with customers who do not return.
The news occurs as authorized Push Push (app) fraud, where customers are deceived to send money from their account to a scammer, represented losses of £ 450 million during 2024.
Two out of five (41%) consumers now support them when they are asked to carry out a manual bank transfer, with almost three out of five (57%) that do not entrust companies that request payments by transfer.
Consumers are (rightly) concerned about bank transfers
The majority (86%) note feel restless if the account name does not match the business, with a similar number (84%) are also about whether companies do not offer multiple payment options.
“Manual bank transfers are often no longer suitable for their purpose and are retaining the United Kingdom economy,” said Ian Morrin, head of Tink Payments.
Despite the generalized concern of the consumer, the majority (87%) of SMEs that accept manual bank transfers still depend on them regularly, or as their preferred payment method, highlighting a clear need for modernization.
This is even more worrying considering that SMEs represent 99.9% of the United Kingdom’s business population, which leads to thousands of millions in losses.
“The safe and recognized payment methods, whether paid by the bank, digital wallets or card payments, provide customers to complete purchases while helping companies improve conversion, reduce the risk of fraud and meet the growing expectations about the payment experience,” Morrin added.
Pay by bank, enabled for the open bank, opens banks and services to communicate with each other, so instead of entering the card details, customers can click on a link to send a payment directly from your account, approving it in the application.
Tink describes the payment by the bank as profitable for companies, but also helps reduce fraud and losses. With payments that are also established faster than inherited methods, it can accelerate processes on electronic commerce platforms and lead to higher levels of satisfaction.
