Why we built Payouts as an alternate to corporate internet banking.

How many times did it happen that you had an important business money transfer to make and realised it’s a bank holiday or that bank working hours are over.

We all have been in that situation. This is one of the few common problems we face as a business.

Businesses do bulk outward payments like vendor payouts, partner commissions, employee wages etc, on a regular basis. Businesses need money transfer systems that work along with them and not only Monday-Friday 9am-5pm.

Typically such transactions happen via corporate internet banking systems like HDFC ENET and Axis Paypro.

Building a payments product, we ended up using a lot of corporate internet banking platforms. We faced challenges and thought the corporate banking products could be much better than they were.

Common challenges in Corporate Internet Banking

Apart from unavailability beyond banking hours, some of the other challenges we faced were:

  • No IMPS, UPI on bulk transfers
  • Incompatible with modern browsers like Chrome. Some portals were incompatible with even Mac-OS
  • Complicated bulk upload file formats. Hard to get right on your own without assistance
  • Cooling period on adding beneficiaries
  • No way to verify bank account prior to transferring
  • High chances of errors and difficult reconciliation in case of failed transfers and reversals

We decided to build Payouts once we talked to our payment gateway customers and discovered they were facing similar issues too.

Introducing Payouts

Payouts is the simplest, fastest way for businesses to send money outwards, especially in bulk. Bank transfers are hard for a business, with Payouts we are trying to make them easy.

Payouts can send money to any bank account, UPI address or Paytm wallet by uploading a simple excel file or via an API.

Payouts looks like your corporate banking platform but with added features and clean workflows that make it easier for businesses to process bulk payments in an accurate and timely manner.

Why Cashfree Payouts?

  • Widest range of payment options ( bank fund transfer, RTGS, NEFT, UPI, Paytm)
  • Instant-works 24*7, even on bank holidays
  • Fully automated-use API or excel upload
  • Bank account verification option
  • Instant addition of beneficiaries-no cooling period
  • No system configurations – works on all operating systems and browsers

To evaluate Payouts better see the image below where we have drawn a parallel comparison between traditional corporate banking portals and Cashfree Payouts.

enet hdfc

Customers are Using Payouts to Innovate and Scale.

New age businesses have been discovering new use cases for Payouts which we didn’t think of. One of our favorite use cases is wage payments for delivery boys.

  • Using Cashfree Grab’s delivery boys are able to withdraw daily earnings at a tap of a button, multiple times a day. Earlier they had to wait a week to receive wages.
  • Online gaming companies use Cashfree payouts for paying the users instantly without being dependent on banking portals.

Instant payouts is great enhancement of the customer experience and our gaming customers use this as a differentiator. We’ve seen new entrants to the industry leverage payouts to grow very fast and become among the larger players over a very short span of time.

We also saw Payouts being used for processing refunds. We built Cashgram as a tailored product to process refunds and for a business to pay its users.

Here is Cashfree Payouts Growth Story.

Today .5% of total Indian bank accounts have received money via Payouts. We have processed Rs 25000 crores of funds and process 1,00,000 daily transactions.

Cashfree Payouts is India's leading bulk dirbursal solution used as smarter alternate to corporate internet banking by companies like Zomato, Dunzo etc.

Read more: Payouts Growth Story: Growing to 100,000 daily transactions in 2 years. ✌️

Payouts for Your Banking Need

Does your business use corporate banking? Talk to our Payments experts.

P.S : If you’re having an interesting business with complex payment flows and want to see if Payouts is a good fit, do comment below and our payments expert will get in touch with you.