The Commonwealth Bank has taken a 20% stake in Brisbane fintech startup Paypa Plane for an undisclosed sum.
Founded in 2018 by Simone Joyce and Jonathan Grant, Paypa Plane is a digital payments provider, building a bank-grade platform where traditional scheduled payments and payment initiation via the New Payments Platform (NPP) and PayTo, which is due to roll out in mid-2022
Paypa Plane CEO, Simone Joyce, said the investment bring instant momentum to the delivery of PayTo through the combination of our technology and CBA’s customer base.
“Our partnership represents an important milestone for Paypa Plane, but it also signals a new era for the way both businesses and consumers will be able to think about and manage their payments – which is an exciting outcome for everyone,” she said.
PayTo will provide a new, digital way for businesses to offer real-time direct debit payments to their customers and also give consumers more control and transparency.
Paypa Plane’s platform creates a digital link between a business and a payer that provides complete transparency over the life of their payment arrangement, delivering significant cost savings and cash-flow assurance to businesses, as well as in-built compliance and customer care.
CBA’s Group Executive Business Banking Mike Vacy-Lyle said the partnership will accelerate CBA’s delivery of PayTo for its business customers.
“The New Payments Platform is a significant initiative for Australia’s digital economy and has already brought the benefits of real-time payments to consumers and businesses,” he said.
“We want to help our business customers offer quality payment experiences that delight their customers, maximise their ability to get paid, and spend less time on administration and collections – leaving more time to focus on growing their businesses.
“Our partnership with Paypa Plane will help us to innovate faster and better respond to our customers’ needs. We’re looking forward to working together to deliver an exceptional payment experience for businesses and consumers.”