BROOKFIELD, Wis. (11/3/14)--Fiserv announced the launch of its new service Popmoney for Disbursements, which was developed to streamline the check-heavy process used by businesses to send payments to consumers.
The service is part of a suite of products supported by the Popmoney personal payment service that facilitates electronic payments between people and businesses, according to the Brookfield, Wis.-based financial services technology solutions company.
Popmoney for Disbursements is geared towards businesses that make frequent payments, or disbursements, in addition to financial institution treasury departments that make disbursements on their corporate clients' behalf. Though, the service can also be used by businesses to pay other businesses.
Examples of users and payment types include:
"Disbursements are one of the last strongholds of paper-based payments," said Andy Schmidt, research director for CEB TowerGroup. "Replacing mailed checks with electronic payment options has significant potential to improve the disbursement process for both businesses and consumers, saving time and money for all involved."
With Popmoney, companies and financial institution treasury departments can send money or disbursements using their email addresses or mobile phone numbers as an identifier. This makes it possible to send money electronically without exposing the recipient's bank account number.
The recipient is then notified via text or e-mail that money has been received in addition to instructions on how to pick it up.
Once recipients input their account or debit card numbers on an online registration page that uses bank-grade security, according to Fiserv, the money is then deposited into their accounts.
The sender also can choose to send the funds directly into the recipient's bank account using a debit card or bank account number.