Corporate Customers of HSBC will now have the ability to disburse funds around the world in over 120 countries via PayPal
HSBC Holdings PLC announced today that PayPal has become a payment provider, allowing corporate customers of the bank to make payments to beneficiaries with PayPal accounts.
The introduction of the PayPal partnership supports HSBC's strategy of broadening the range of electronic payment mechanisms available through its Global Disbursements service, which makes cross-border payments easier by centralising all outgoing transactions into a single payment process.
The HSBC Global Disbursements service already allows customers to reach beneficiaries globally in 136 currencies through domestic and international payment schemes while also enabling the status of payments to be tracked online. This improves transparency and reduces the complexity and cost of making cross-border payments.
Clients of HSBC's Global Disbursements service will now be able to use PayPal to improve their payments operation in cases where PayPal is a pay-out preference, when it can replace inefficient instruments for even faster and more efficient collection of funds and where it provides greater access to markets and countries.
"Our collaboration with PayPal will significantly expand the payments network accessible to our clients through HSBC, allowing them to send payments to a much wider range of counterparties in a fast and efficient manner," said Tom Halpin, Global Head of Payments in Global Liquidity and Cash Management at HSBC.
"Our agreement with HSBC demonstrates how PayPal's strategy of partnership with global banking institutions is delivering significant benefits for businesses and consumers around the world," said Jim Magats, VP, Head of Payments, Product & Engineering at PayPal. "PayPal and HSBC share a common vision of making payments simpler, secure and more convenient for merchants and consumers who want to manage and move their money digitally around the globe."