Pay by Bank FAQs
Instant Bank Pay (IBP) is now known as Pay by Bank. While the name has been updated, the service functionality remains entirely unchanged
Please note: The Pay by Bank feature is currently available for all merchants based in UK, US, Canada, EEA, Australia (PayTo), and New Zealand who are collecting GBP payments from customers in the UK.
Please register your interest here if you'd like to be notified whenPay by Bank is available in your region.
Availability of plans and features may vary by region. Please consult our product Bundle Description to read the full details
Pay by Bank is our latest feature for GoCardless users, that enables you to request a payment from your new or existing customers. Payment confirmation is instantaneous and funds land in your bank account in a business day or less (for the UK).
Is this feature available to me?
Currently, Pay by Bank is currently available in the UK. If you have any questions about access - please reach out to our Support Team.
What if I share a request with my customer but their bank account isn’t supported?
If your customer's bank isn’t supported yet but you share a payment request to them, they will see an error message saying that the bank account is not supported for the payment flow yet. You can still set them up on a Direct Debit mandate, or collect the payment another way.
Which banks are supported?
For UK Pay by Bank payments:
| Allied Irish Banks / Allied Irish Banks Corporate / Allied Irish Banks (NI) | Alpha FX | Arbuthnot Latham |
| Bank of Ireland UK / Bank of Ireland Business UK | Bank of Scotland / Bank of Scotland Business / Bank of Scotland Commercial | Barclays / Barclays Business / Barclays Corporate |
| Cater Allen | Cashplus Bank | Chelsea Building Society |
| Coutts | Cumberland Building Society | Cynergy bank |
| Danske Bank / Danske Bank Business | First Direct | Halifax |
| HSBC Bank / HSBC Business | JPMorgan Chase Bank N.A. UK | Lloyds / Lloyds Business / Lloyds Bank Commercial |
| Mettle | Monese | Monzo |
| Nationwide | Natwest / Natwest Business | RBS / RBS Business |
| Revolut | Santander | Starling |
| Tesco Bank | Tide | TSB Bank |
| Ulster Bank | Virgin Money | Wise |
| Yorkshire Building Society |
If your customer’s bank isn’t listed yet, please reach out to our Support team.
I connect to GoCardless through partner software, can I use this feature?
In order to use Pay by Bank or the Billing Requests API, your partner will need to have built the integration. Once the feature has been integrated, you should see the feature in your partner's platform.
I only use the GoCardless API, can I use this feature?
Pay by Bank is available for some merchants via the Billing Requests API. Please contact api@gocardless.com to learn more.
How does this relate to Open Banking? What is Open Banking?
Open Banking is the secure way to give providers (like GoCardless) access to your customers' financial information, so your business can collect payments from them. Pay by Bank uses Open Banking to collect one-off payments, which you can learn more about here.
When will I receive the funds once a payment has been collected?
For UK Pay by Bank payments:
Once your customer successfully* completes the billing request, you will receive instant confirmation in your dashboard or API. Payments made before 11am on business days will reach your account on the same day, otherwise it takes up to one business day.
*If the payment has failed you will need to set up a new payment request, as Pay by Bank payments can't be retried.
Please note: Payments made after 6pm will be processed the following working day.
How much does it cost?
Pay by Bank is included in the transaction fee (which varies depending on the plan you’re on).
Depending on your location, an international fee may apply.
Are there high value transaction fees for Pay by Bank?
No. Fees for customers who are not on custom pricing are capped depending on the plan you’re on and there are no additional fees. We also offer custom pricing to merchants with large volumes .
What are the maximum transaction limits for Pay by Bank?
| UK Pay by Bank payments | £25,000 |
Please note that lower limits may also be set by your customer’s bank.
I am registered as a charity with GoCardless, what am I charged?
GoCardless offers discounted pricing to qualifying charities. To learn more please see here.
What if my customer tries to dispute a charge?
Payments made with Open Banking in the UK are via Faster Payments - the same banking rails used to make a bank transfer to a business or friend. You have the same level of protection as a payer as you normally would with your bank, so if you can’t resolve it with the business, you can go through your bank’s dispute resolution process.
Open banking feels new, will my customers be comfortable with it?
Open banking is one of the most secure ways to process payments in Europe, and GoCardless has developed a simple payment experience for your customers. To learn more about what they will see when you send them a payment request take a look at this article.
Who can I contact for support?
Please get in touch with our specialist team who can help you with any questions you have about this feature.