If you make regular business transactions in the UK then it's highly likely that you’ve heard of Faster Payments. Haven’t heard of Faster Payments? Don’t worry – we delve into what it is and how it can benefit budding businesses.
What is Faster Payments?
How does Faster Payments work?
For business and everyday transfers, Faster Payments works the same as most online bank transfers – you can make them using your mobile banking app, telephone banking or in-branch using most self-service machines.
Daily limits and things to know
Faster Payments enables you to send and receive payments of up to £1,000,000 between all UK banks.
It can cost up to £2.50 per transfer with most corporate banking providers. However, for businesses using a 3S Money International Business Account, receiving Faster Payments within the UK is free of charge, while sending them costs just 60p.
With Faster Payments, your transactions are safe and secure too, as it's FCA-regulated (and part of pay.uk). If your business needs to send quick payments within the UK (in GBP) our UK IBAN can help - check your eligibility to get started.
What type of payments can you make using the Faster Payments?
Single payments
Single payments are the most common type of payments businesses can make with Faster Payments. They’re generally ‘one-off’ payments that can be made 24 hours a day. With 3S Money, your payments to UK accounts can be made within seconds.
Standing orders
These are fixed-value payments set up to be processed on a repeat date, to the same recipient. Standing orders can be used to pay recurring invoices or subscriptions.
A scenario where you might set up a standing order is when arranging monthly payments to your UK-based supplier.
Bulk corporate payments
Bulk corporate payments allow businesses to send multiple payments to multiple recipients. A scenario where you might use this is when paying employee salaries.
Forward-dated payments
These are similar to single payments as they’re also considered ‘one-off’ transactions. The main difference is that they’re set up in advance to be sent on a pre-arranged date.
Which banks use Faster Payments?
- Bank of England
- Bank of Scotland plc
- Lloyds Bank plc
- Santander
- Starling Bank
- Modulr
- Nationwide
- HSBC Bank plc
- The Access Bank UK, and many more.
The benefits of using the Faster Payments network
- Increased flexibility. Faster Payments is available 24/7, so you’re not restricted to traditional banking hours.
- Transparency and security. The Faster Payments service is regulated by the Financial Conduct Authority (FCA), which means your funds are protected – 3S Money is also regulated by the FCA, so any UK payments made with our International Business Account are also secure.
- Last but not least, Faster Payments offers enhanced efficiency and speed. This means increased confidence from senders and trust in recipients.
Unlock your global potential with 3S Money
If you’re ready to expand to UK markets and optimise your payment processes, don’t let geographical borders limit you. With a 3S Money International Business Account, you can do business in over 190 countries with access to over 65 currencies. Get started with a UK IBAN today.
FAQs
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Faster Payments is strictly for transactions within the UK that use GBP, whereas SWIFT is used by businesses operating globally, transacting anywhere in the world.
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SEPA is used for the same purpose as Faster Payments however, SEPA is for payments only in EUR (and only between countries signed up for the agreement). Learn more about SEPA.
