As the world celebrates International Women’s Day, we take a moment to shine a spotlight on the remarkable women in PAYSTRAX! We are proud to have so many diverse specialists who embody the spirit of excellence and drive success at our company. Get to know their achievements and future plans below!

Kristina Majauskaite-Adomaviciene, CFO  

What are the main factors or tools influencing the growth of the company?
The growth of PAYSTRAX is influenced by a multitude of factors and tools, each playing a significant role in its trajectory. Beyond the invaluable experience and knowledge possessed by employees, other critical elements include strategic planning, and data driven decision making.  Utilizing data-driven decision-making processes, we capitalize on insights from market trends, customer behaviour, and operational efficiency, further fuelling our growth. 

Company’s Financial Health: is it important and how to measure it?  

Financial health is a core part of every business. Business that consistently monitors financial health is better placed to sustain current performance and continue to grow. PAYSTRAX is constantly measuring its financial health by monitoring operating efficiency, cash flows and profitability. Maintaining our company’s financial health allows us to grow and succeed. 

Kristina Tamulione, Team Lead of ODD 

What are the main factors ensuring quick and smooth onboarding process?
A smooth onboarding process relies on effective communication that ensures understanding of the client’s needs and expectations together with our company’s requirements for specific industries. Clear documentation provides clarity on services or goods that merchant is offering, also if it’s adhering to the compliance regulations. With all that experienced staff is the key factor for quick onboarding. Our team can offer guidance and insights tailored to the client’s and industry specific requirements ensuring quick start of payment acceptance.

How do you envision the future of onboarding? What innovations or enhancements you think would be useful to implement? 

The future of onboarding holds exciting potential, with advancements in technology created to optimise the process. AI-driven personalization could tailor onboarding experiences to individual preferences and learning styles, optimizing engagement and retention. Enhanced automation tools could reduce the manual work to the minimum, leaving less space for human error mistakes. Additionally, new technologies could improve verification processes, ensuring secure and transparent documentation throughout the onboarding journey. 

Gintare Truksnyte, CCO 

What initiatives or innovations were taken in the past year to enhance the effectiveness and efficiency of our compliance efforts?
Last year, we were focusing on strengthening the compliance function, aiming to bring it closer to each member of the company. The compliance team provided in-person training to engage all employees. We aimed to explain complex things in a simple way, while covering and touching on the most important topics and issues. We wanted to show that the compliance function is not only about formal following with the legal requirements, but it is also a daily advisory function for the business to achieve the best solutions and comply with regulations. While the implementation of changes takes time, we are moving in the right direction. The company also offers online training, providing employees with the opportunity to complete it at their most convenient time. 

It is important to mention that having the right compliance team promotes confidence in compliance and improves the compliance culture within the company. For me, the right team is defined by 3 things: professionalism, positivity, and can-do attitude. 

What do you see as the most significant compliance challenges facing our industry in the near future? 

As usual, the main challenge is the implementation of the growing regulatory requirements. Their adaptation to the company’s activities takes a lot of time and resources. The second is the automation (including the challenges of using AI) of processes and tasks to ensure efficiency. Third and no less important is to find the right team member, as we are currently looking for a new colleague. 

Akvile Venskaviciute, Information Security Specialist 

On what areas PAYSTRAX’s security team is focusing on right now the most?
In the realm of cybersecurity, our focus at PAYSTRAX revolves around safeguarding sensitive data through rigorous measures aligned with best practices in the industry. We prioritize compliance with regulations such as the Payment Card Industry Data Security Standard (PCI DSS), ensuring that data and transactions are handled with the highest level of security. Currently, we implement robust measures to continuously strengthen our defences against potential vulnerabilities. From enhancing our threat detection and response capabilities to fortifying our systems against emerging risks, every action we take is meticulously crafted to uphold the highest levels of data and transactions’ security. 

How does PAYSTRAX’s security team collaborate with other departments to enhance overall cybersecurity awareness and resilience within the company? 

Collaboration is essential in our cybersecurity efforts at PAYSTRAX. As we start new projects to make our operations more efficient, security is always a top priority. It’s not just something we think about later—it’s one of the first things we consider. Whether we’re introducing new software or improving current processes, our security team works closely with colleagues from different departments to make sure our operations are secure. 

Furthermore, our commitment to cultivating a culture of security extends beyond technical measures. We actively engage in comprehensive training programs aimed at raising cybersecurity awareness across the organization. Every member of our team, irrespective of their role, receives training to equip them with the knowledge and skills necessary to identify and mitigate potential risks effectively. 

When we start new projects, our motto is clear: security comes first. This mindset runs through every part of our work, ensuring that our operations remain secure and resilient against any threats. 

Monika Kareckaite-Siupiniene, Head of HR 

What are the main reasons for the minimal employee turnover in the company?
The minimal employee turnover at PAYSTRAX is truly something special. There are a few key factors that contribute to it. One of the main reasons is our strong company culture that fosters a sense of belonging and purpose. We also prioritize employee development and work-life balance, providing opportunities for personal and professional growth. We genuinely care about each other and create a warm and welcoming environment. And this supportive and collaborative work environment plays a big role in keeping our employees happy and engaged. Our team feels valued, supported, and inspired to do their best. These factors combined create a positive and fulfilling experience for our team members, making them less likely to seek opportunities elsewhere. 

What strategies is the HR department considering to ensure the company remains competitive in attracting and retaining top talent in this dynamic environment? 

The HR department is always looking to attract and retain the best talents by implementing different strategies. Firstly, we rely very strongly on the company’s values, both in the way we work and in the way we select the best candidates to join our team. We are constantly exploring innovative recruitment methods and collaborate with recruitment experts outside the company. We invest heavily in personal and professional development programs and create a positive work culture that encourages development and engagement. We also pay close attention to the environment around us: different internal activities and initiatives, improved employee benefits package, hybrid work opportunities and others. We are open to employee suggestions, opinions, and feedback. We want everyone to feel valued and motivated to grow with us. Creating a great employee experience is what matters to us and ensures that we continue to attract and retain the best talents on the market. 

In the world of payment processing, merchants face a maze of pricing options, with Interchange++ and Blended pricing being two prominent choices. For a payment acquirer, understanding these pricing models becomes paramount not only for effectively serving merchants but also for navigating the competitive landscape. What do these pricing models look like, and which one is more beneficial for your business? Read more and find out!

Interchange ++ 

The Interchange++ (or IC++) pricing model is a clear price breakdown into three parts: 

The interchange fee – this fee is assessed by the issuing bank (consumers) to the acquiring bank (merchants), and fluctuates based on transaction specifics, such as card-present status and the card category, like corporate or consumer;
The scheme fee – imposed by card providers (such as Visa, Mastercard, or American Express) on the acquiring bank as a usage charge for employing their systems;
The acquirer or processing fee – a fee from the payment service provider, serving as a surcharge for utilizing the services, including the gateway access. 

When choosing the IC++ pricing model, the merchant receives a full breakdown of each fee included in his pricing of the transaction. This offers transparency and usually results in an overall lower fee for one transaction.  

Blended pricing 

Blended pricing is a simpler pricing model than IC++. Even though it still covers all the three fees mentioned above, it’s one combined cost for the transaction. Although this model may lack transparency regarding individual fees, it provides businesses with greater predictability of their expenses. Typically, this pricing model entails a fixed percentage of the transaction value along with a predetermined transaction fee, offering businesses a clear understanding of their cost structure upfront. 

Which pricing model to choose? 

Each business has different needs and requirements when it comes to pricing. But there are some things to consider that might help to decide which pricing model would be more suitable for your business. Here are some of them: 

Transaction volume 

If your business has a lot of domestic and international transactions, choosing an IC++ pricing model can result in lower costs overall. Domestic and international transactions have different fees, so if you have a blended pricing model, the price for domestic transactions can be higher than it could be with the IC++ model. 

But if your business doesn’t have a lot of transactions, a blended pricing model can be more effective and useful. While it may offer a less detailed fee overview, it provides simplicity and predictability in pricing, making it easier for businesses to budget and forecast expenses. 

Cost transparency 

Choosing between two pricing models often comes down to the level of transparency desired by the business. Transparency is crucial for understanding the breakdown of fees associated with each transaction, which can have a significant impact on the overall cost of payment processing. The level of transparency that IC++ is offering is particularly beneficial for businesses with higher transaction volumes and those that process a diverse range of transactions locally and internationally.  

But if that is not a need, going with the blended pricing model might be a good option. It helps to keep your business finances planned and be more predictable about upcoming expenses. 

If you’re still unsure what price model suits your business best, our representatives are here to help you. Customised solutions for your business and a lot of different features and benefits from PAYSTRAX – your payment service provider! 

2023 has been a tough year for the Fintech industry. Inflation, a cost of living crisis and a looming recession have weighed heavy on both consumers and businesses, while constantly changing financial regulations have threatened to stifle every last bit of innovation the industry has.

2024 will be no different. While the same challenges remain, new threats and opportunities are starting to emerge that require action, not just attention.

With that in mind, here are my predictions as to what consumers and businesses should consider in the new year and why payments in 2024 will be more evolution than revolution.

Digital wallets will overtake physical wallets

An increasingly cashless society has given rise to mobile commerce. So much so that digital wallets are set to become the most preferred online payment method during 2024, accounting for over a third of all payments globally. 

The continued trend towards mobile wallets is heavily driven by convenience. From tube fares to supermarket tills, digital wallets have become so popular that one in five people in the UK now says they likely won’t carry a physical wallet within the next five years. Because why take a bunch of physical cards with you when just your phone will do? 

However, the accessibility of digital wallets is a big issue preventing its widespread adoption.  While younger generations are typically the ones who drive new trends, it’s the older generations that ultimately have the cash. Many are still reluctant to move completely to digital wallets or simply can’t due to technology restrictions or lack of knowledge.

The UK will never likely become a fully cashless society, as there are still millions of people who rely on cash and other forms of traditional payments. However, over the next 12 months, businesses that haven’t gotten up to speed yet on offering mobile payment options risk being left behind.

We can already see the popularity of mobile wallets in the e-commerce landscape. There’s a reason why so many online stores want to offer Apple or Google Pay – because it boosts conversion rates. Consumers have become so accustomed to mobile wallets that we can’t even bear the thought of manually entering our card details every time we want to make a purchase. 

Plus, we’ve only reached the beginning of the digital wallet trend, especially in the UK. Whereas other EU countries are able to offer digital driving licences and even passports, we’re currently limited to loyalty cards, event tickets, or boarding passes. Expect this to change in the near future, especially if plans for the Digital Pound go ahead.

Payments will start to sing in harmony

With up to six different services being used to process just one transaction – from payment processors to fraud protection providers – businesses are increasingly looking for ways to simplify and optimise the payment process.

Like a symphony of different instruments coming together, the term ‘payment orchestration’ simply means bringing all of these different payment services and technology providers together to reduce the complexity and time spent on transactions as well as give businesses better insight into spending trends.

With payment orchestration, it also means that a merchant can have an agreement with more than just one or two acquirers for card payments and can choose to route payments through the acquirer that has the best rates for each type of transaction. For example, when they receive a decline with one acquirer, such as for risk-based reasons, they can simply route the authorization request to the next possible acquirer to get it approved.

Having a multitude of options is the go-to trend now. By offering several different transaction routes under one roof, payment orchestration can help reduce the chances of legitimate transactions being declined by a bank or payment processor and therefore increase sales and customer satisfaction.

Plus, with post-Brexit interchange fees at some of their highest rates for UK businesses, it can be a huge win for UK merchants that are servicing EU customers. Indeed, acquirers that offer additional separate merchant accounts within the EU stand to save the most, benefitting from lower exchange rates and fees for EU-based transactions.

Payment orchestration makes more sense for bigger corporations right now as businesses have a minimum volume of sales before it makes it a viable option, but once adopted it can make a big difference in terms of driving up sales and negotiating better transaction fees.

APP users will return to card payments

The tech revolution in the payments industry is extraordinary. but the rise of new methods may be opening the door for fraudsters to attempt new ways to trick people out of their hard-earned money.

For example, one of the highest growing areas of fraud is authorised push payments (APP), with more than 116,000 people in the UK falling victim to APP fraud within the first six months of 2023.

APP fraud involves fraudsters tricking victims into willingly but unknowingly making large bank transfers to them rather than a legitimate organisation, such as posing as someone from your bank or another trusted organisation. Ironically, the fraudster will claim you have been a victim of fraud and say you need to move your money to a different bank account.

Banks and financial institutions are struggling to prevent this particular issue. Over £152 million was returned in total by the banking sector to victims in the first half of this year, with the FCA recently finding significant flaws in banks’ and payment providers’ fraud risk management framework. 

Card payments, on the other hand, remain one of the most secure ways to make purchases. While methods like APP are still fairly new for banks and financial institutions and therefore come with unknown challenges, the security barriers for card payments have been built over decades. Not only are credit cards encrypted, but unlike APP fraud, suppliers are much more likely to return money as long as the customer can prove it was taken without proper authorisation.

In these two cases, of course it doesn’t make any sense to use APP over traditional card payments, but the bigger problem is that consumers aren’t educated on the risks.

In 2024, there needs to be widespread warning signs to help highlight the potential threat and ensure customers don’t take on any unnecessary risk. Consumers should be pushed to make card payments to keep their money safe until APP becomes mature enough that it can be used widely without the fear of fraud.