Lloyds Bank is partnering with Visa to offer Straight Through Processing (STP) technology to customers using its commercial charge cards.

The tie-up makes Lloyds the first bank in Europe to partner with Visa to deploy the STP technology, which enables more efficient payment of invoices while providing the traditional benefits of commercial card payments to both the buyer and the supplier.

STP allows buyers to request to time their payments to maximise the number of days before their statement, giving them more flexibility with their cashflow than would be the case with a bank transfer.

Suppliers benefit by receiving funds directly into their accounts without the need to manually input card details or use card terminals.

STP also makes it easier for suppliers to identify the source of inbound payments as a result of more detailed remittance data.

The move comes after Lloyds went live with Swift gpi Instant last year, which connects the high-speed Swift gpi cross-border payments rail with real-time domestic infrastructure, in this case the UK’s Faster Payments system.

James Sykes, head of commercial cards at Lloyds Bank Commercial Banking, said: “Partnering with Visa to add STP technology to our commercial cards is a direct result of us acting on a payments pain point for our clients.

“STP turns the traditional supplier-initiated payments model on its head. It makes conversations around card payments easier, provides more control and insight over the transaction and can help buyers and sellers improve their working capital.”

Helen Jones, executive director, Visa Business Solutions at Visa, added: “Commercial cards are a secure, reliable and convenient way for businesses to pay.

"STP will help make the experience of paying invoices easier and more streamlined for both suppliers and buyers. We’re delighted to partner with Lloyds Bank to help their customers better manage their cashflow and their supplier relationships at such a critical moment for UK businesses.”

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