Mastercard is set to launch an A2A instant payments sandbox for UK banks, allowing them to explore innovative payment methods.
Utilizing this sandbox and Mastercard’s A2A payments technology, banks can trial various use cases, including retail and digital assets, across person-to-person, person-to-merchant, and business-to-business transactions. For instance, the sandbox will enable banks and fintechs to implement a “5-leg credit transfer” that provides real-time confirmation of funds, ensuring that merchants receive instant payment confirmation for retail transactions.
Additionally, the sandbox will adhere to international ISO20022 standards, allowing testing of expanded data fields designed to enhance fraud detection and other advanced features.
Peter Reynolds, EVP of Mastercard Real-Time Payments, emphasized the significance of A2A payments in the UK, stating: “Account-to-account payments are already a major component of the UK’s financial landscape. The Mastercard A2A Instant Payments Sandbox opens our innovative technology to our partners for the development and testing of new services. Together with the UK government’s National Payments Vision, we are forging a bold future in A2A real-time payments.”
This initiative follows Visa’s introduction of new technology targeting the UK’s growing account-to-account market through its pay-by-bank offering.