HSBC UK has made sweeping variable recurring payments (VRPs) available to personal and business customers.
In Brief:
VRPs are payment instructions that can be set up to make a series of future payments.
They are now available to all customers that participate in open banking.
It is reportedly the first UK bank to roll this out overseen by the Open Banking Implementation Entity (OBIE).
What does this mean?
Sweeping VRPs aim to make the payment process smoother by allowing for a more automated experience. Use cases include automated savings amounts, or paying monthly bills that may be different each time, without having to ask for consent for each change. In the UK, banks have been instructed by the Competition and Markets Authority to support VRP for sweeping to customers’ own accounts.
