Visa debuts new model for A2A payments in the UK

By Gloria Methri

Visa is bringing a major upgrade to its current pay-by-bank model with the launch of Visa A2A, a rules-based system for bill payments and subscription management.

Visa A2A debuts in the UK in early 2025 and will give consumers a smarter digital user experience, advanced security features, and an easy-to-use dispute resolution service. The move represents a significant upgrade to the current pay-by-bank expertise and aims to help people get their money back if something goes wrong.

Visa is bringing decades of experience in payment innovations—including tokenisation, biometrics and AI-based fraud-fighting technology—to introduce new levels of control and usability for the benefit of consumers, businesses and banks.

From early next year, banks and businesses in the UK will be able to offer Visa A2A to consumers making bill payments such as utilities, rent and childcare fees. In the future, we will look to support consumers in better managing subscriptions of products and services including digital streaming, gym memberships and food boxes.

Key features of Visa A2A service include:

• Protection—A formal dispute resolution process will provide consumers with a reliable way to check transactions, while innovations such as biometrics will add a new level of security, resulting in fewer unauthorised transactions.
• Choice—Consumers will now have another option to pay for products and services directly from their bank account with the click of a button.
• Control—It will be easier to set up and manage payment permissions, so consumers will be in control over when payments are made and will be able to set limit amounts so that higher bills will not unexpectedly put them under financial stress.

Mandy Lamb, Managing Director, Visa UK and Ireland, said, “We want to bring pay-by-bank methods into the 21st century and give consumers a choice, peace of mind and a digital experience they know and love. That’s why we are collaborating with UK banks and open banking players, bringing our technology and years of experience in the payment card market to create an open system for A2A payments to thrive. Visa A2A will ensure consumer-to-business bank transfer payments have similar levels of protection that consumers are used to when they use their cards.”

Visa A2A will be based on an open system available for all eligible banks and other industry partners to join. It is being designed in partnership with leading FinTechs in the UK, including Banked, Modulr, Moneyhub, Salt Edge, Vyne and Yaspa. Key industry players working with Visa will deliver it.