Clearing houses disrupted with same-day super software

By January 24, 2017
slashed time saving money

Clearing houses disrupted with same-day super software

January 24, 2017

Newly listed fintech company InPayTech has unveiled a new system that speeds up employers’ superannuation payments, potentially allowing small businesses to bypass third-party clearing houses such as Westpac.

Read More...

Newly listed fintech company InPayTech has unveiled a new system that speeds up employers’ superannuation payments, potentially allowing small businesses to bypass third-party clearing houses such as Westpac.

InPayTech, chaired by former Investors Mutual chairman Don Sharp, claims its PayVu software reduces the time it takes superannuation payments to go from a business to an employee’s fund from an average 4.2 days to the same day. Listing last month after raising $5 million through an initial public offering, InPayTech’s ClickSuper Service is one of the smaller clearing houses, competing with major players Westpac’s QuickSuper and Superchoice after forming in 2010 following the Cooper Review’s push to modernise the superannuation system.

Mr Sharp said reducing the inefficiency of having cash held up sitting with third-party “middle man” clearing houses for a few days would benefit employees as their savings were invested in super funds sooner. “The average amount of time we hold money is 4.2 days, so the major benefit of this is to the employee who gets their money invested 4.2 days earlier, which has a significant effect on their retirement savings,” he told The Australian.

The payments and superannuation sectors are increasingly being targeted by new fintech companies aiming to disrupt incumbents and take a slice of their revenue.

Notably, InPayTech’s new technology may disrupt its own operations along with the broader industry by reducing interest on income it earns on cash during the average 4.2 days before payments are remitted to an employee’s underlying superannuation fund.

In financial year 2016, InPay-Tech handled about $3 billion of the more than $100bn a year in business superannuation contributions.

Mr Sharp said however the benefits to small businesses of reducing transaction times to the same day while also removing the chore of manually matching data to payments in accounting software would ultimately lead to higher revenue.

He added the software could be used by businesses for other more common payments, such as invoices, plus be rolled out in several markets overseas where it has patents approved and pending

“This system can do any payments. We’re just highlighting superannuation now as we’re focusing on the issue of clearing houses and why you don’t need them any more,” he said.

PayVu charges businesses 10c for each employee per transaction. For example, a business with 10 staff that pays superannuation contributions quarterly would pay $1 a quarter, or $4 a year. Mr Sharp said the technology could erode the industry’s margins, but InPayTech would benefit from greater volumes of transactions.

He said the software would appeal to superannuation funds trying to build relationships with small businesses.

“At the moment, they get the money via a clearing house so they don’t have the relationship with the SMEs and they really want that as they are trying to build goodwill to win more business,” Mr Sharp said.

In full-year 2015, InPayTech last year narrowed its loss to $640,000 on a 48 per cent rise in revenue to $1.3m, according to its prospectus.

Tuesday, 24 January, 2017 – The Australian

Mergers and More

InPayTech considers M&A in Australia and overseas; welcomes accounting advisors

09:53 AM - Feb 16, 2017

Integrated Payment Technologies (InPayTech) [ASX:IP1], the Australia-based financial and technology company, is considering Australian and overseas growth through mergers and acquisitions after its December debut on the Australia Securities Exchange (ASX), CEO Robin Beauchamp said.

RETIREMENT PLAN

New system eliminates superannuation clearing house requirements for SME owners

11:03 AM - Jan 30, 2017

Australian small businesses operating cloud-based accounting software can benefit from a unique software overlay system called PayVu that speeds up superannuation payments to the same day

stocksnap_3h21kuxvt4_opt

PayVu eliminates superannuation clearing house requirements for Australian small business owners

08:33 AM - Jan 27, 2017

PayVu eliminates superannuation clearing house requirements for Australian small business owners

inpaytech_opt

InPayTech combats slow super payments

11:13 AM - Jan 24, 2017

Third party clearing agencies could be a thing of the past with a fintech company InPayTech’s launch of new technology for same-day superannuation payments.

payment

InPayTech combats slow super payments

11:28 AM - Jan 24, 2017

InPayTech has launched a superannuation payment system, PayVu, that allows small-to-medium (SME) businesses to make same-day super payments to employees, bypassing third-party clearing houses.

Clearing Times Smashed

PayVu eliminates superannuation clearing house requirements for Australian small business owners

11:25 AM - Jan 24, 2017

Australian small businesses operating cloud-based accounting software can benefit from a unique software overlay system called PayVu that speeds up superannuation payments to the same day, and eliminates the current inefficiencies of employers needing to deal with third party clearing agencies.

online_payments_changed with payvu

Integrated Payment Technologies to speed up superannuation payments

03:49 PM - Jan 23, 2017

Integrated Payment Technologies (ASX:IP1) (InPayTech) has developed a unique software overlay system called PayVu that speeds up superannuation payments to the same day.

patentart_opt

InPayTech acquires patent in Singapore

08:15 AM - Jan 16, 2017

InPayTech has already acquired patents in several Asian countries including China, Japan and Hong Kong, with Singapore marking the last of the patents the company applied for in Asian markets.

Singapore patent approved

Singapore completes patent approval in ASIA region for InPayTech

10:08 AM - Jan 12, 2017

Integrated Payment Technologies Limited (InPayTech) has received patent approval for its unique payments process in Singapore.

singapore-river

InPayTech receives patent approval in Singapore

11:23 AM - Jan 12, 2017

InPayTech (ASX:IP1) has received patent approval for its unique payments system in Singapore.

ip1-inpaytech-hongkong

Integrated Payment Technologies gains patent approval in Hong Kong

09:24 AM - Dec 22, 2016

Integrated Payment Technologies’ (ASX:IP1) (InPayTech) shares are trading higher after receiving approval for its patented payments process in Hong Kong.

Hong Kong Patent Approved

Hong Kong patent approved for InPayTech Limited

05:46 PM - Dec 21, 2016

Integrated Payment Technologies Limited (InPayTech – ASX Code: IP1) has received approval for its patented payments process in Hong Kong and has also patented its unique payments process in other Asian countries namely Japan and mainland China. Patents are pending in Singapore.

thinkglobally

InPayTech Limited gains Hong Kong patent approval

09:46 AM - Dec 21, 2016

Integrated Payment Technologies Limited (InPayTech – ASX Code: IP1) has received approval for its patented payments process in Hong Kong.

payvu ASX IP1

Integrated Payment Technologies lists on ASX; launches new technology

09:00 AM - Dec 19, 2016

Newly listed Integrated Payment Technologies (ASX:IP1) (InPayTech) has launched a digital initiative aimed at streamlining the settlement of all electronic payments to just one day.

payvu-easy-payments

How PayVu will slash payment clearing time

03:40 PM - Dec 14, 2016

A new service expects to reduce payment settlement times from the traditional three days to just one.

payvu fast payments

InPayTech launches faster payment service

11:17 AM - Dec 12, 2016

Payment software company InPayTech has launched a new digital service aimed at speeding up the settlement process for electronic payments.

ScaledBack

InPayTech Limited to scale back investor allocations following heavy over subscription to its Initial Public Offer

10:07 AM - Nov 18, 2016

Integrated Payment Technologies Limited (InPayTech) will scale back allocations of stock to certain investors following a heavy over-subscription to its Initial Public Offer (IPO) which closed on 18 November.

Online Payments Easy

InPayTech to help SMEs dramatically improve cashflow cycle via its new PayVu technology

11:59 AM - Dec 06, 2016

Integrated Payment Technologies Limited (InPayTech) has launched a new digital initiative aimed at streamlining the settlement of all electronic payments to just one day.

inpaytech PR

InPayTech Limited Initial Public Offer closed to Institutional subscribers

09:46 AM - Nov 16, 2016

Retail investors have access to Offer until Friday November 18, 2016

Market closing

InPayTech Limited Initial Public Offer to close this Friday 18 November 2016

08:01 AM - Nov 15, 2016

Integrated Payment Technologies Limited (InPayTech) will close its Initial Public Offer (IPO) at 5:00pm this Friday, November 18, 2016.

business ASX

InPayTech Limited Initial Public Offer achieves minimum subscription

09:20 AM - Nov 07, 2016

Integrated Payment Technologies Limited (InPayTech) has surpassed its minimum subscription target of $3,000,000 after week two of its Initial Public Offer (IPO) opening.

OpeningDay

InPayTech Limited Initial Public Offer opens today

11:06 AM - Oct 02, 2016

Integrated Payment Technologies Limited (InPayTech) has today formally opened its Initial Public Offer (IPO).

newpayments

Real-time bank transfers coming by 2017, says RBA

08:23 AM - Oct 13, 2016

The “new payments platform” (NPP), which will allow bank customers to transfer funds in real-time by using just a phone number or email address, is on track to launch in late 2017, the Reserve Bank of Australia said on Thursday.

Businessmen shaking hands

InPayTech to list on ASX

01:36 PM - Oct 07, 2016

Australian payment software provider InPayTech has lodged a prospectus with ASIC and intends to list on the ASX, with its initial public offer due to open later this month.

1461578712026

InPayTech plots capital raise and ASX IPO as real-time payments take off

07:23 AM - Apr 26, 2016

The former chairman of fund manager Investors Mutual, Don Sharp, is plotting a $4 million capital raising and ASX listing for his latest venture InPayTech, which operates in the lucrative payment systems industry.

ipo

InPayTech Announces Plans To Raise Up To $5 Million

11:26 AM - Oct 06, 2016

Integrated Payment Technologies Limited (InPayTech) says it plans to raise up to $5 Million including over subscriptions, and list on the Australian Securities Exchange (ASX).

STP

Benefits Seen All Round From ATO Payment Initiative

03:12 PM - Sep 04, 2016

The ATO initiative to create “real time” payroll data and superannuation payment efficiency is good government policy that will have positive repercussions for small businesses and the payroll industry, says InPayTech chairman Don Sharp.

financial-software-300x200

Financial software: Pave the cowpaths

11:54 AM - Aug 23, 2016

Forget blue-sky innovation, focus on improving current financial practices…

img-c1999ab5680f68ff4e0fa45b30d9dcbd

Regulation is not such a dirty word

06:27 PM - Aug 21, 2016

Is Australia’s fintech startup community too regulated? Or is regulation a good thing? It depends on who you listen to.

4316157064_e6fdbe44f9_o

RegTech tops FinTech for innovation opportunities

06:30 PM - Aug 19, 2016

The ‘RegTech’ market — technology driven by new government regulation — provides greater opportunity for IT start-ups than FinTech and other digital disruptor markets, according to senior banking figure Don Sharp.

media-release

ATO Single Touch Payroll a looming efficiency boon to business and payroll, superannuation sectors

09:13 PM - Aug 04, 2016

The Australian Taxation Office’s (ATO) initiative to create ‘real time’ payroll data and superannuation payment efficiency is good Government policy that will have positive repercussions for small business and the payroll industry, according to InPayTech company chairman Don Sharp.

Innovation Lockdown

Industry innovation is not coming from within: Sharp

03:56 PM - Jul 20, 2016

InPayTech executive chairman and financial services stalwart Don Sharp is calling out regulatory challenges faced by Australian fintechs and is encouraging the federal government to take a long term view on disruptive industry legislation.

regulations-300

Regulation more disruptive to financial services sector than digital innovation: industry stalwart

12:04 PM - Jul 19, 2016

Government regulation imposed on Australia’s banking, wealth management and superannuation sector has greater power to disrupt the industry than organic innovation, according to senior industry figure and company chairman Don Sharp.

jpg9

Regulation bigger disruptor than innovation

09:01 PM - Jul 19, 2016

Regulations imposed on Australia’s wealth management, banking, and superannuation sectors have greater power to disrupt the industry than innovation, a senior industry figure said.

red-tape-250

Regulation more disruptive to financial services sector than digital innovation: industry stalwart

05:43 PM - Jul 19, 2016

Government regulation imposed on Australia’s banking, wealth management and superannuation sector has greater power to disrupt the industry than organic innovation, according to senior industry figure and company chairman Don Sharp.

pexels-photo-159888

Industry innovation is not coming from within: Sharp

03:18 PM - Jul 19, 2016

InPayTech executive chairman and financial services stalwart Don Sharp is calling out regulatory challenges faced by Australian fintechs and is encouraging the federal government to take a long-term view on disruptive industry legislation.

regulationinnovation

Regulation making it ‘impossible’ to innovate: Sharp

02:45 PM - Jul 19, 2016

Constant changes to legislation imposed by the government are making it hard for the financial services industry to innovate, argues Managed Accounts Holdings executive chairman, Don Sharp.

analysis-680572_640

Regulation bigger disruptor than innovation

12:14 PM - Jul 19, 2016

Regulations imposed on Australia’s wealth management, banking, and superannuation sectors have greater power to disrupt the industry than innovation, a senior industry figure said.