Fintech startup Revolut is launching its own acquiring solution. With this move, the company is competing directly with Stripe, Adyen, Braintree or Checkout.com. This is an in-house product and not just a fresh coat of paint on an existing solution.
As a reminder, Revolut already offers business accounts. It lets you send and receive international payments, and exchange funds in multiple currencies. You also can order debit cards to spend money from your Revolut account directly.
With Revolut’s acquiring solution, the company is going one step further, as you can now accept card payments from your customers. Revolut supports 14 currencies and settles payments on your Revolut Business account the next day.
When it comes to fees, you get a small allowance of free card payment processing fees depending on your plan. Above that limit, you pay 1.3% on card transactions from customers based in Europe and the U.K. For other cards, you pay 2.8% on all transactions — there’s no free allowance.
This is slightly cheaper than Stripe, which costs 1.4% + £0.20 for European cards and 2.9% + £0.20 for non-European cards. Of course, companies like Stripe have been optimizing their payments infrastructure for many years. Right now, Stripe supports more payment methods, more currencies, advanced fraud prevention features, etc.
After you’ve created your merchant account, Revolut offers plugins for WooCommerce, Prestashop and Magento. You can also use the Merchant API to add a checkout widget on your custom website.
If you’re a freelancer and you just need to send a couple of invoices per month, you can also generate payment links. The recipient can then pay from a web page hosted by Revolut.
The main advantage of Revolut’s acquiring solution is that it’s integrated with Revolut Business. You can see payments and banking in the same interface, you don’t need to alternate between your Stripe account and your bank account to reconcile transaction data.
It could work particularly well for B2B businesses that don’t handle a ton of transactions and don’t want to set up a separate payments solution. Let’s see what customers think of the API when they start using it.
Online payments are available for business customers in the U.K., Austria, Belgium, Denmark, France, Germany, Ireland, Italy, Netherlands, Poland, Portugal, Spain and Sweden. The rest of the European Economic Area should get the feature soon.
This post first appeared here: https://techcrunch.com/2020/12/04/revolut-lets-businesses-accept-online-payments/