New CreDec Virtual Account helps SMEs bypass the banks
- New account is created in seconds for real-time payments and bank reconciliation
- First ever bank SME intermediary payments solution for cloud accounting platforms
- Real-time payments integration made available to Xero’s 450,000+ UK SME customers in the first instance
CreDec, the non-bank payment service provider, has today launched its Virtual Account, a market-leading first in real-time payments solutions, allowing SMEs and accountancy firms to bypass internet banking to make bank payments directly from their accounting platforms.
Announced at XeroCon today in London, CreDec’s Virtual Account can be created in seconds via the user interface in cloud accounting suites such as Xero, and linked to any online bank account to provide frictionless payments.
Currently, it is impossible to make payments securely from accounting platforms, leaving SMEs to balance their books independently via internet banking and deal with accompanying issues such as managing multiple payments, human error in manually keying transactions, bank statement feeds and reconciliation. Using the new CreDec Virtual Account integration, businesses will be able to run all payables from Xero from their banking accounts, without using Internet Banking. Nearly half a million UK SMEs use the Xero platform, and can now use the new functionality to benefit from immediate time and cost savings.
This represents the first of multiple cloud accounting integrations CreDec will roll out with providers over the coming months. Founded by Alex Meynell, CEO, CreDec joined the Faster Payments Scheme as a full settling member at the Bank of England in 2018. It is the first non-bank payment service provider to do so as an Authorised Payment Institution.
For accountants and bookkeepers, the new integration provides a powerful new collaborative client offering, and a solution to take care of all bank payment related activities, including payroll. The CreDec Virtual Account can be customised to accommodate all unique customer workflows and approvals processes.
Single and batch payments can be made using the CreDec Virtual Account directly within Xero, with pending payment transactions scheduled automatically for approval and funding by signatories. In addition, statement lines are written back into Xero in real-time for one-click bank reconciliation.
“CreDec’s Virtual Account effectively turns Xero into a bank front end,” said Alex Meynell, CreDec CEO. “We’ve closed the gap between banking and accounting payments, and starting with Xero, we’re making accounting platforms the principal interface for all payments activity. It’s a big step for automating a significant chunk of accounting administration for UK SMEs.”
The CreDec Virtual Account is available now, and CreDec’s listing in the Xero app market place can be seen here.
