Belvo strengthens its portfolio of Open Finance tools in Brazil with an authorization to develop payment initiation solutions. In addition to its data aggregation and enrichment solutions, this consolidates Belvo’s position as the leading Open Finance API in the country.
The company has been authorized by the Central Bank of Brazil (Bacen) to operate as a Payment Transaction Initiator (ITP), within the scope of the regulated Open Finance framework, and will be able to offer its customers the possibility of operating payments within their own platforms, in a process with less friction for the final consumer.
At first, this will be done through Pix: Belvo’s customers will be able to process payments and collect fees using Pix on their own platforms through bank authentication. This means a safer and easier process for both the issuer and the final consumer, improving conversion rates.
“The payment initiation comes to make the financial system more efficient in the country, initially leveraging Pix and bringing new use cases as the model advances. Belvo is in a privileged position as an enabler of this model which will revolutionize the way people and businesses operate payments daily in Brazil, helping the system become more efficient and secure, which leads to better sales conversion,” says Albert Morales, General Manager of Belvo in Brazil
Aside from being one of the first players to adopt the new payment format, Belvo brings to the market a unique solution: the company is the only one in Brazil to provide not only the API that makes this process possible but also the frontend experience. This means Belvo customers will have access to an end-to-end, easy-to-integrate product.
Safer, easier transactions
Payment initiation solutions can benefit a variety of customers and business models. The use cases Belvo intends to develop include different solutions with high potential in the Brazilian market: business models such as lenders, e-commerce checkouts, personal finance managers, and ERP software providers can benefit from the product.
By connecting with Belvo, lenders will be able to operate in safer, more practical, and user-friendly formats, centralizing and automating the process of collecting parcels, fees, and emitting payments.
This solution also has meaningful potential for the B2B payments market and its operators. For instance, payment initiation allows ERP systems to offer their customers the option of making payments directly through their platform interfaces, avoiding error and making it much easier to operate financial tasks and accounting.
“Receiving this authorization from the Central Bank is a fundamental step toward Belvo’s mission in Brazil and Latin America to democratize access to financial services and promote Open Finance in the region. From this step, we will be able to enhance our offer to the Brazilian market, with a complete product that goes from aggregation and enrichment of financial data to payment initiation”, says Pablo Viguera, co-CEO, and co-founder of Belvo.
End-to-end Open Finance
The ITP license consolidates Belvo as the most advanced player to operate Open Finance solutions in Brazil by adding to the existing portfolio of data aggregation for regulated institutions and enrichment tolls, in a revolutionary combination.
Belvo is currently the only company in the country to offer access to standardized data from regulated and non-regulated sources through a single API. To power up aggregation, enrichment solutions bring key insights through tools like income verification, categorization, and risk insights.
You can learn more about Belvo’s Open Finance solutions here.