PayTo is an Australian payment solution that allows businesses to initiate real time payments from customer bank accounts after receiving explicit approval through a digital agreement.

Key Takeaways

  • Customers approve a PayTo agreement once
  • Businesses initiate payments in real time
  • Customers can pause or cancel agreements

How PayTo works step by step

  1. Customer reviews and approves a PayTo agreement
  2. Agreement defines amount, frequency and purpose
  3. Business initiates payments under the agreement
  4. Funds settle in real time
  5. Customer can manage the agreement at any time

What is a PayTo agreement

A PayTo agreement is a digital payment authority that defines how and when a business can debit a customer account. It replaces paper based direct debit forms. PayTo is designed for authorised real time payments. Businesses comparing options often review PayTo vs PayID before choosing a solution.

Benefits of PayTo for businesses

  • Faster settlement
  • Lower failed payments
  • Better reconciliation
  • Improved customer trust