With digitalization and instant payments rapidly evolving the payments landscape, now is the time to leverage momentum and catalyze innovation in the way businesses exchange invoices, payments and remittance information with one another. To accelerate this evolution, the Business Payments Coalition, with support from the Federal Reserve, recently launched two work groups to assess and pilot efforts to drive more efficient business-to-business (B2B) payment processes and ultimately achieve straight-through processing (STP).
STP for businesses refers to when the entire payment process including invoice, payment and remittance information is completely automated from start to finish. These electronic or automated payment processes benefit the entire B2B payments ecosystem as they lead to more efficient payments.