Revolut has launched a direct debit service in the UK, with the aim of encouraging customers to use the digital bank as its main account.
The feature allows UK customers to pay direct debit payments in pounds sterling for gym memberships, phone contracts and utility bills. The service will also allow business customers to pay supplier invoices or regular invoices.
The London based application bank only stated that the service is available to all customers in the European Economic Area with accounts in the UK. He added that retail customers and businesses are protected against fraud or errors by the UK Direct Debit Guarantee.
Revolut, launched in 2015, claims to have accumulated eight million customers in more than 31 European markets. It launched in Singapore last month and plans to start trading in the United States before the end of the year.
Advantages of Challenger Bank
However, like other mobile banks such as Monzo and N26, customers tend to use these companies as a secondary account, preferring to keep their paycheck with a traditional lender.
Customers tend to use these challenger banks for perks like access to cheaper travel money and other lower fees and charges.
Revolut claims their average customer has around $ 1,000 in their account, but the industry standard is around half.
Revolut CEO Nik Storonsky (photo) said: “24 hour access to a real-time payment infrastructure is essential to building any successful financial service. We provide Revolut customers with an alternative digital payment infrastructure unhindered by a reliance on traditional and slow banking services. [British pound] GBP Direct Debit is the latest integration as we strive to be the bank of the future. “