The verdict in three sentences
For a B2B merchant, pay by bank (open banking payment initiation over SEPA Instant in the eurozone or Faster Payments in the UK) costs 0.2 to 0.9% or a flat EUR 0.20 to 1 per transaction, versus 1.2 to 2.9% for cards. It removes chargeback risk and bypasses business card limits, which often bite above EUR 3,000. Integration costs EUR 3,000 to 9,000 excl. VAT and pays back in under a year from EUR 1M of online volume, provided it is shown as the primary checkout option.
How pay by bank works in B2B
The customer picks « Pay by bank » when confirming the order. They select their bank, authenticate in their banking app and approve a pre-filled transfer (amount, account details, order reference). The payment initiation provider, licensed by the FCA in London or a European regulator, sends the instruction. With instant payments, the funds land in under 10 seconds.
For a CFO, three things change compared with a classic manual transfer:
- Automatic reconciliation: the order reference is enforced, no more unlabelled transfers to chase.
- Immediate confirmation: the order goes to picking without waiting 1 to 3 days of interbank delay.
- No card data stored or transmitted, so a smaller PCI DSS scope.
Fee comparison by payment method
| Payment method | Typical 2026 fees | Chargeback risk | Common limit | Settlement time |
|---|---|---|---|---|
| European consumer card | 1.2 to 1.8% | Yes, up to 120 days | Personal limit | D+1 to D+3 |
| Business or corporate card | 1.8 to 2.9% | Yes | EUR 3,000 to 10,000 per month | D+1 to D+3 |
| Non-EU card | 2.5 to 3.5% | Yes | Variable | D+2 to D+5 |
| Pay by bank (percentage) | 0.2 to 0.9% | No | Bank transfer limit | Instant |
| Pay by bank (flat fee) | EUR 0.20 to 1 per payment | No | Bank transfer limit | Instant |
| Manual transfer on invoice | No fee, reconciliation cost | No | None | D+1 to D+3, frequent delays |
| SEPA B2B direct debit | EUR 0.20 to 0.50 per transaction | No, B2B mandate | Per mandate | D+2 |
These are 2026 ballpark figures from payment providers operating in Europe and the UK. Pay by bank does not replace 30-day terms for key accounts, but it captures upfront orders, new customers and SMEs.
What integration costs and what it returns
| Item | 2026 range (EUR excl. VAT) | Comment |
|---|---|---|
| Provider integration at checkout | EUR 3,000 to 9,000 | Depends on CMS or custom platform |
| Automatic ERP reconciliation | EUR 1,500 to 4,000 | Optional but profitable |
| Provider subscription | EUR 0 to 150 per month | Often bundled in transaction pricing |
| Observed B2B adoption rate | 15 to 40% of online payments | Depends on placement |
| Fee savings on EUR 2M card volume | EUR 5,000 to 12,000 per year | With a 30% shift |
Adoption mostly depends on checkout design. An option shown first, labelled « no fee for you, confirmed in 10 seconds », reaches 30 to 40%. Buried at the bottom of the list, it stalls around 10%.
Mini case study
Claire, CFO of an industrial supplies distributor in Lyon, takes EUR 2M a year by card on her B2B site at an average 1.8%, or EUR 36,000 in annual fees. She also faces 8 chargebacks a year averaging EUR 1,200, half of which are lost: EUR 4,800.
Need a professional website?
Kolonell builds websites that attract clients, optimized for the Sénégalese market. Free quote in 2 minutes.
She integrates pay by bank for EUR 6,000 and gets a 30% shift, or EUR 600,000 of volume. At 0.5%, those payments cost EUR 3,000 instead of EUR 10,800 by card: EUR 7,800 saved. Chargebacks fall proportionally, avoiding about EUR 1,400 in losses. Total: EUR 9,200 a year, with the investment repaid in under 8 months. Her accounting team also saves 2 hours a week of reconciliation. A London distributor with the same GBP volume sees a similar ratio over Faster Payments.
FAQ
Is pay by bank safe for a B2B site?
Yes, the customer authenticates in their own banking app with strong customer authentication. The provider is licensed and the merchant never handles card data, which shrinks PCI DSS scope.
Will key accounts use it?
Rarely for 30 or 60-day orders. However 15 to 40% of upfront payments shift, especially SMEs and new customers without an open account.
What happens in a dispute without chargebacks?
Refunds are sent by transfer from your back office, usually within 24 h. You keep control of the decision, unlike cards where the issuing bank can debit you up to 120 days after purchase.
Do instant transfers cost the customer anything?
Since 2025, eurozone banks must price instant transfers the same as standard ones, often EUR 0 for business accounts, and UK Faster Payments are generally free. The main hurdle is the daily bank limit, sometimes EUR 15,000 to 50,000.
How long does integration take?
2 to 4 weeks on an existing site, testing included. Automatic ERP reconciliation adds 1 to 2 weeks.
Let's scope your project. Share your annual card volume and platform, and we will price the pay by bank integration and expected savings, with a budget of EUR 3,000 to 9,000 and go-live in 2 to 4 weeks. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
