BPay launching first real-time payment platform
Osko will commence in October as part of the New Payments Platform.
Popular bill payment service BPay is launching the first instant payment platform in October as part of the New Payments Platform (NPP), allowing bank customers to transfer funds in real-time.
The platform, Osko, is the first service to launch as part of the NPP, which is a large bank-funded project to create real-time payments that are more streamlined with less information.
Osko, owned by BPay, will enable bank customers to instantly transfer money using only a recipient's “PayID”, rather than the current process of supplying a BSB, account name and account number.
Currently it can take up to three days for payments to be transferred and cleared when transferring between different banks, but Osko will allow these to be made instantly.
NPP CEO Adrian Lovney told the Sydney Morning Herald that bank customers can expect to be invited by their bank to register for a PayID from October as the service becomes available to consumers.
"Bank accounts will still have a BSB and account number, but their PayID is a friendlier, handle or address for their underlying bank account. So that could be their mobile phone number, or an email address, or an ABN or an ACN," he said.
Osko will be compatible with 70 financial institutions from October this year, including Big Four banks Westpac, ANZ, CBA and NAB.
BPay Group CEO John Banfield said that not only will Osko enable payments in real-time, it will allow customers to request funds from others, such as invoices.
"I would love, at the end of this, where we're simply making statements as friends, to say, I'll Osko it to you, or I'll Osko someone. That's really what we want to get to," he said.