The Credit Thing implements TrueLayer's recurring payments API

The Competition and Markets Authority has mandated the UK’s nine largest banks to provide VRPs that support the automatic transfer of money between two accounts belonging to the same person, referred to as ‘sweeping’. TrueLayer is one of the first Open Banking providers to offer a single API that enables businesses to connect to select UK banks to take recurring payments as a replacement for direct debit and card-on-file payments.

The Credit Thing is focussed on helping the people in the UK who are left behind by incumbent services due to thin credit histories. Using Open Banking to securely link bank accounts during the application process, consumers whose credit histories look thin or non-existent can prove their creditworthiness. In addition, by applying in-app rather than online, virtual cards are issued as soon as they are approved, which can then be added to Apple Pay or Google Pay or used to pay for purchases online.

Rather than direct debits that can take days to process, with TrueLayer consumers can mandate recurring payments in seconds and The Credit Thing receives instant notification. Consumers also have more control, with a single payment approval that removes the need to re-authenticate or re-authorise transactions, through a payment consent that is tied to a bank account and doesn’t expire until it’s revoked by them.

Recurring payments with TrueLayer provide The Credit Thing with instant access to the funds deposited and removes the fees incurred by card payments and their potential for chargebacks, and the operational overheads of managing direct debits.