Tipalti
  • Solutions
    • Accounts Payable AutomationEnd-to-end, invoice-based payments designed for growing companies
      • Supplier Management IconSupplier Management
      • Invoice IconInvoice Management
      • PO Matching IconPurchase Order Matching
      • Global Payouts IconPayment Remittance
      • Payment RecPayment Reconciliation
    • Purchase Order ManagementControl and visibility over corporate spend
    • Global Partner PaymentsScalable payment solutions for creator, ad tech, sharing and marketplaces economy
      • Supplier Management IconPartner Management
      • Global Payouts IconGlobal Payments
      • Fraud Detection IconFraud Detection
      • Self Billing IconSelf-Billing Module
      • Tax Compliant IconTax and VAT Compliance
  • Technology
    • Overview
      • The Tipalti PlatformGlobal, scalable, and fully automated
    • Features
      • Multi Entity IconMulti-Entity Architecture
      • Financial Controls IconFinancial Controls
      • Payment API IconPayment API
      • Secure Cloud IconSecure Cloud
      • AI IconPi Payables Intelligence
    • Integrations
      • ERP & Accounting
      • NetSuite
      • Sage Intacct
      • QuickBooks
      • Microsoft Dynamics
      • Sage Accounting
      • Xero Accounting
      • Performance Marketing
      • Custom Integrations
  • Why Tipalti
    • Overview
      • Why TipaltiA modern, holistic, powerful payables solution that scales with your changing business needs
      • Customer StoriesSee how we transform finance operations
    • Benefits
      • Accolades
      • Invoice-Based Workflow
      • Performance-Based Workflow
      • Benefits by Role
    • Additional Services
      • Currency Management
      • FX Hedging
      • Implementation Services
      • Supplier Enablement Program
    • Industries
      • Business Services
      • Software and Technology
      • Ecommerce and Retail
      • Marketplaces and Gig Economy
      • Video and Digital Media
      • Video Gaming
      • Financial Services
      • Online Services
      • Education
      • Healthcare
      • Advertising Technology
      • Affiliate and Influencer Networks
      • Manufacturing and Wholesale
  • Resources
    • Blog
      • The Financial Advisor BlogStrategy and trends in payments
    • Guides
      • What is AP Automation?
      • What is Self-Billing?
      • Compare Payment Methods
      • Future of Finance
      • Destination IPO
      • Payments Across Borders
      • The Total Guide to ERP Integration
  • Company
    • About Us
      • About Tipalti
      • Careers
      • Partnerships
      • Contact Us
    • Help
      • Support
      • FAQs
    • News & Events
      • Events
      • Newsroom
  • Login
  • Book a Demo
Get Started

Local Bank Transfers or International Bank Transfers


We've paired this article with a comprehensive guide to global payment methods. Get your free copy of the Global Payment Method Guide!
Get the FREE guide
Home / Global Payments Hub / Local Bank Transfers

Local bank transfer is a cross-border payment method where a deposit is made into a foreign bank account. Local bank transfers involve an intermediary organization or financial institution which operates between the payer (or the originator) of the transfer and the payee (or the receiver) of the payment. The intermediary acts as a clearing mechanism and helps to process and settle the transfer of funds.In the United States, the most common process that involves this type of intermediary is called an ACH transfer. The payment is issued by the payer and then ‘cleared’ and settled by the Automated Clearing House before being available in the payee’s account. Unfortunately, the domestic ACH system does have the capacity to settle international money transfers. Many other regions around the world also have clearing mechanisms that function similar to an ACH transfer. Europe has developed the single European Payments Area or SEPA – which allows for local bank transfers with similar ease to domestic ACH transfers. India has multiple mechanisms for local bank transfers including the NPCI, ECS, and more recently the NACH.Local bank transfers are also known as an international ACH, Global ACH or eCheck. A type of EFT (electronic funds transfer), the convention and process by which local bank transfer payments are made varies from country to country. Local bank transfers are quickly becoming the international money transfer method of choice for businesses that make mass payments. Online marketplaces, affiliate networks, and advertising networks regularly execute mass payment batches to their partners. Local bank transfers can be executed quickly and at scale while having the advantage of low fees and local currency.

Local bank Transfers vs International Wire Transfers

The difference between local bank transfers and wire transfers is the role of the network or intermediary. Wire transfers utilize a direct link between the banks on both sides of the transfer. While local bank transfers can be completed at a relatively low cost, international wire transfers tend to carry hefty fees. While international wire transfers are more expensive than local bank transfers, they tend to be more reliable and faster.

Why You Need Local Bank Transfer as an International Payment Method

Local bank transfers can make paying vendors and partners a lot easier for your company. It has many advantages, which other options may not give you. So if you have a large business, you may find using it beneficial. Here are a couple reasons why you want to use local bank transfers eCheck as a global payment method.

Transform the way
your finance team works.

Bring scale and efficiency to your business with fully-automated, end-to-end payables.

Read more

Global Reach

Local bank transfers can reach pretty much anyone worldwide. Many businesses, especially internet-based digital economy brands and large corporations rely on products or services from people outside the country. If you use this service to pay your suppliers or partners, you can automate the global payments workflow and reduce accounts payable workload by up to 80%. Instead of having multiple banks in different countries to make payments to, you can automate and consolidate your global payments into a single batch. With accounts payable automation, you or your staff can focus on growing your business.

Save Money and Time

Believe it or not, mass payments can save money and time. Rather than requiring a staff of accounts payable specialists to process payments, your payments can be grouped into one payment run and leverage the efficiency of automation. In addition to the time it takes just to process invoices and execute payments, extra steps are required for global payments. A robust end to end mass payment solution takes the manual steps out of your accounts payable workflow, helping to save money and time.

About the Author

Rob Israch

Rob Israch leads global marketing for Tipalti and runs their Europe business, bringing over 20 years of leadership experience to the company. During the 7+ years that Rob has served at the company, Tipalti has experienced 50X+ growth while helping the company receive a valuation of over $8.3 billion and becoming one of the select few companies in America to have made both the Deloitte Fast 500 and Inc 5000 lists for the last four years running.
Prior to Tipalti, Rob served as VP, Global Marketing Programs at NetSuite, the leading provider of cloud-based Enterprise Resource Planning (ERP) software, helping to guide the company through 10X+ revenue growth, from a private company through IPO to cloud ERP market leader. Previously, Rob held a variety of executive roles at Intuit QuickBooks and GE Capital.


RELATED ARTICLES

What are Payment Rails & How do They Work? Correspondent Bank Definition: What is a Correspondent Bank? What is Open Banking and How Does it Work? What is an Intermediary Bank? What is a SWIFT Code? Key Things to Know About Global Payment ProcessingWhat is a Single Euro Payments Area (SEPA) ? 4 Main Ways to Send International Wire Transfers Top Global Payment Methods: What are Their Pros & Cons? What is OFAC? - A Guide to OFAC Compliance & Regulations Global ACH & International ACH Transactions (IAT) Guide What are Cross Border Payments? A money-saving guide Demystifying Cross-Border Payment Methods in 196 Countries 5 Tips for Making International Money Transfer Handle Cross-Border Payments in Five Easy Steps

Footer

Solutions

  • Accounts Payable Automation
  • Global Partner Payments
  • PO Management

Capabilities

  • Overview
  • Supplier Management
  • Invoice Management
  • PO Matching
  • Self-Billing Module
  • Payment Reconciliation
  • Global Payments
  • Fraud Detection
  • Tax and VAT Compliance

Why Tipalti

  • Why Tipalti
  • Customer Stories
  • Invoice-Based Workflow
  • Performance-Based Workflow
  • Benefits by Role
  • Benefits by Industry

Technology

  • The Tipalti Platform
  • Multi-Entity Architecture
  • Financial Controls
  • Payment API
  • Secure Cloud
  • Pi Payables Intelligence

Resources

  • The Financial Advisor Blog
  • What is AP Automation?
  • Compare Payment Methods
  • Future of Finance
  • Destination IPO
  • Payments Across Borders
  • The Total Guide to ERP Integration

Company

  • About Tipalti
  • Careers
  • Partnerships
  • Events
  • Press
  • In The News
  • Media Kit
  • Support
  • FAQs

REGION

  • United Kingdom
    • North America
CONTACT US
LinkedIn Instagram Facebook Twitter YouTube
Tipalti Europe Ltd, Elm Barn Stert Road, Kingston Blount, Chinnor, OX39 4SB, Oxfordshire, United Kingdom. Registered in England & Wales, No.:12471817. Tipalti Europe Ltd is authorised by the Financial Conduct Authority as an Electronic Money Institution under the Electronic Money Regulations 2011. Our FRN (Firm Reference number) is 942778.
We Handled It.
Privacy Policy
|
Customer Assistance Policy
© 2010–2022 Tipalti Inc.