The digital bank is on track to do everything an incumbent does.
Announced today, Starling Bank has joined the Bacs Payment Schemes Ltd (Bacs), as the latest participant to use the scheme to back its direct debit and direct credit consumer offering.
Four new banks – including Starling – have joined Bacs in the last twelve months, with the payment scheme accounting for a total of 6.35bn payments last year. The move follows Starling’s successful partnership with EU payments scheme SEPA in 2017, as well as more recent efforts to cater to a wider financial community with the rollout of Starling’s Merchant Acquiring services last week.
As a result of the partnership, commercial customers of Starling Bank will be able to access the payment scheme's direct debit and Bacs direct credit functionality.
Starling Bank COO Julian Sawyer commented: “After joining SEPA in 2017 and announcing the rollout of our Merchant Acquiring services last week, Starling’s customers – both business and personal – will benefit from access to a rich financial ecosystem, now including one of the UK’s largest payment systems.”
Since its inception fifty years ago, more than 125bn transactions have been debited or credit to British bank accounts via Bacs. With this latest partnership, Starling Bank seems to be closing in on offering consumers almost everything its Big Bank competition can.
“That an exciting challenger brand such as Starling sees merit in being able to provide its commercial customers with a route into our schemes is further endorsement of our payment offering, and I’m thrilled to have this new bank on board,” said Michael Chambers, chief executive officer of Bacs.