Revolut Launches Acquiring Solution For Business Customers
Revolut has launched an acquiring solution for its Revolut Business starter pack, which will allow businesses in 13 European countries to accept credit card payments online. The product will feature a 1.3 percent fee for U.K. and EEA consumer cards and a 2.8 percent fee for all other cards. Revolut Business customers using paid plans will receive monthly allowances for free U.K. and EEA card payment acceptance at no additional charge, the company said on Friday (Dec. 4).
Revolut, which is valued at $5.5 billion as of a funding round from last February, said it expects to compete with Stripe and Adyen in the acquiring space.
“Companies across Europe know that it’s now essential to their success to be able to do business online. That’s why we introduced a new, secure way to accept payments through websites, and we have enabled customers without an online presence to get paid fast through secure payment links,” said Revolut CEO and Founder Nik Storonsky.
Revolut Business allows businesses to use easy-to-install checkout plugins or build their own checkout experiences using a customizable widget and merchant API. The acquiring solution will eliminate the need for businesses to alternate and reconcile between acquiring and banking platforms. Revolut said the product will also help businesses improve cash flow by allowing them to see their payments settled the next day.
Businesses should also be able to save money on currency conversions, as the product will be able to accept payments in 14 currencies. Funds can be kept in the original currency or converted at the interbank rate to help save on foreign exchange costs, the company said.
Earlier this week, London-based Revolut introduced a new feature in the U.K. that will give its more than three million customers access to direct deposits a day early.
“Early access to salaries could be a genuine lifeline for many during these tough economic times,” Storonsky said in a statement on Wednesday (Dec. 2).
The benefit will be powered by the payments platform Modulr, Revolut’s payment partner that has direct access to the Bank of England.
In October, CNBC reported that Revolut is close to applying for a U.S. banking license in California.
The FinTech is likely to apply for a charter with the Federal Reserve Bank of San Francisco and California’s Division of Financial Institutions within the next few weeks, people with inside information told CNBC.
Revolut’s bank charter would be with California, but will allow the bank to operate anywhere in the U.S. with interstate agreements, according to the unnamed source.