What Does a Payment Provider Provide

1
What Does a Payment Provider Provide?
Steve Stone Senior Vice President Strategic
Business Development
Ralph Joy Senior Vice President Payables
Account Services
2
What Are The Minimum Requirements For Payment
Providers?

• Process payments

• Process only authorized payments

• Collect money from the party that owes, pay the
  party thats owed settlement

• Handle payment exceptions

• Monitor and control risk

3
What Types of Payments Exist?
4
What Are Customers Asking Payment Providers to
Provide? (What Would Payment Providers Need to Do
In Any Case?)

• Open and maintain accounts Activity funds
  repositories

• Risk management

5
How Do Providers and Customers Needs Differ?
Provide credit vs.
Control credit risk
Quality vs. Service
price
Balanced terms conditions vs.
Minimal risk
6
How Do Providers Differentiate Their Services?
7
Liquidity
Risk
Why would a customer need 5,000,000,000 of
liquidity?
8
Quality...How Will You Know It When You See It?

• TQM what does it mean?

• Service standards agreements, guarantees

• Independent assessments Baldridge awards,
  ISO9001

• Service when and how?

9
PAYMENTS -- The Next Generation
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(No Transcript)
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A financial settlement solution for the on-line
B2B exchanges that incorporates..
.. and provides value through the exchange to
the end users.
12
PNC Banks Digital Community Settlement Service
adds value to the e-commerce experience...
13
Arent Banks Obsolete? Why Use A Bank?
Banks or
?

• Banks can take deposits and make loans

• High on trust scale reliability and
  confidentiality

• Risk management credit, settlement, liquidity,
  legal, operational

• Access to the payments system own the card
  networks

• Infrastructure investments ACH, Chip cards, on
  line scoring, etc.

Are B2B Needs the same as B2C or C2C Needs??