Banking giant MasterCard announced that it has unveiled a virtual card offering that uses machine learning and straight-through processing instant payment of supplier invoices, according to media reports. The company also mentioned that those slow and inefficient payment processes continue to hamper businesses, hitting cash flow for suppliers while being time-consuming for buyers.
Some other payments methods like ACH require buyers to guard sensitive bank account information, thereby adding another layer of complexity. The firm also uses Mastercard Track Instant Pay, which helps to simply and efficiently authorise an immediate payment to a supplier once they submit an invoice.
Machine learning uses invoices and also identifies that are likely to be rejected. This helps the firm enable the rest to be authorised for payment on the same day they’re received. With the help of the straight-through process, digital payments are sent directly to a supplier’s bank account via a Mastercard virtual card, with no manual intervention required.
Ron Shultz, EVP, new payment flows, North America, Mastercard, told the media, “Delayed payments create significant challenges for businesses financially and operationally, especially in today’s environment. Track Instant Pay helps solve these pain points by enabling buyers and suppliers to automate their manual payment processes, unlocking valuable time, working capital and choice.”
Mastercard Track Instant Pay combines machine learning capabilities from Previse, which is artificial intelligence (AI) and data science company, along with Mastercard’s core commercial solutions and global payment network to transform how businesses send and receive payments. This solution is also a part of Mastercard’s comprehensive suite of B2B products and services designed to reduce complexity and risk, cut costs, and automate processes for businesses globally.