Belvo Introduces New Payment Solutions in Mexico and Colombia

Published 7 months ago

Belvo, a leader in open finance technology in Latin America, has unveiled innovative payment solutions in both Mexico and Colombia. These solutions are set to reshape how businesses manage recurring payments and transfers, offering a streamlined experience that originates directly from users’ bank accounts.

Mexico Welcomes Direct Debit Product

In Mexico, Belvo has rolled out a Direct Debit feature designed for businesses to facilitate the collection of payments from any bank account. This product is aimed at simplifying and securing the payment process for various services, including subscriptions, bill payments, loan collections, and digital wallet top-ups. By allowing users to link their bank accounts and set up automatic transactions, Belvo aims to enhance the efficiency of recurring payments.

Colombia Sees Dual Product Launch

The Colombian market is also benefiting from Belvo’s expansion, with the introduction of two new products. These offerings enable businesses to not only automate direct debits but also to initiate large-scale payouts to destination accounts. This dual functionality addresses common challenges such as chargebacks, fraud, and complexities in managing variable recurring payments.

Reducing Costs and Fraud

Uri Tintoré, co-founder and co-CEO of Belvo, highlighted that the new products are designed to address specific customer pain points by streamlining money transfers and leveraging open finance data to validate account balances and transaction histories. This approach not only simplifies the payment process but also aims to improve conversion rates and reduce fraud risk.

Impact on Regional Payment Methods

The launch comes at a time when there is a significant demand for efficient and economical payment methods in Latin America. In Colombia, particularly, these bank payment integrations are expected to halve transaction costs for businesses compared to traditional credit card networks. Account-to-account (A2A) payment adoption is surging in the region, with projections indicating a growth rate of 22% CAGR between 2022 and 2026.

A Comprehensive Solution for the Region

Belvo’s new offerings signify a major step forward for the payment industry in Latin America. With a complete solution for variable recurring payments via A2A rails, Belvo continues to enhance payment systems. In Brazil, the company has already been facilitating Pix payments through Open Finance rails, further demonstrating its commitment to reducing friction and increasing security for customers across the region.