PayTo

Business Benefits

• Real-time payments – no delays waiting for funds to clear
• Instant authorisation – fewer disputes and greater confidence
• Streamlined reconciliation – rich payment data simplifies reporting
• Faster payments, greater certainty – accelerate the customer experience
• Happier customers – improved satisfaction and stronger retention

Customer Benefits

• Agreement control – approve, pause or cancel directly within their banking app
• Real-time updates – instant visibility across payment activity
• Seamless setup – no card details or lengthy forms required
• Trusted security – authorised within the customer’s banking environment

How is PayTo different from Direct Debit?

Unlike Direct Debit, PayTo offers real-time settlement. End-users (customers) can manage their agreements and payments directly through their banking app, reducing the likelihood of failed payments. If there are insufficient funds, the parties will know immediately rather than waiting days for the funds to clear. Where appropriate, businesses can also perform real-time retries with ease.

End-users can authorise and manage their PayTo agreements conveniently within their banking app, making the process simple and user-friendly.

Additionally, unlike Direct Debit, end-users can use their PayID to support PayTo payments instead of providing their bank account details. This also simplifies the process for all parties when an end-user decides to change their banking service provider.

What is the difference between PayID and PayTo?

PayID is a service on Australia’s NPP that allows users to register a simple identifier, such as a mobile number or email address, as an alias for their bank details. This eliminates the need to share detailed bank account numbers. PayTo builds on this by offering a complete payments solution, enabling real-time payments based on a pre-approved digital agreement.

With PayTo, end-users have the option to provide either their bank account details or their registered PayID as an alias for their bank details to facilitate real-time payments.

The PayID option makes it easier for end-users to use PayTo. Additionally, if they change their bank, they can take their PayID with them which may eliminate the need to set up a new PayTo agreement.

Is PayTo secure?

Yes. PayTo is protected by bank-grade security and requires end-users to authorise each agreement within their banking app. It includes built-in fraud monitoring, often involving multi-factor authentication, and gives end-users the control to view, pause, or cancel agreements. This helps build the confidence they need to adopt this payment option, especially if they were hesitant to do so under a Direct Debit arrangement. The system is backed by the New Payments Platform and governed by Australian financial regulations.

What does PayTo do?

PayTo allows businesses to quickly establish digital agreements with their customers, enabling one-off or ongoing pre-authorised, real-time payments. Each payment request initiated by the business is seamlessly matched with the corresponding customer or invoice record in their system. This simplifies complex payment workflows and improves cash flow management.

Which banks offer PayTo to their end-users?

PayTo is supported by major banks on Australia’s New Payments Platform—such as Commonwealth Bank of Australia, Westpac, ANZ, and NAB as well as a growing number of smaller banks, neobanks and other financial institutions.