We know new banking regulations aren’t always newsworthy – but the introduction of Variable Recurring Payments (VRPs) for sweeping payments at Mettle certainly is. But what are VRPs and sweeping payments, and how do they help you?
Sweeping payments are the movement (sweeping) of money when it’s automatically transferred between two of your own accounts (me-to-me payments). VRPs are a way to initiate recurring payments and transfer funds quickly and securely.
Why is this important?
VRPs allow you to safely connect authorised payment service providers to your Mettle account. They work similarly to Direct Debits and there are different use cases for them.
Because VRPs payments are authenticated right away within your Mettle account it makes them faster, more cost-effective, secure and less prone to error. They also allow you to set up agreed parameters for the payments. This offers you more control and transparency, because:
The payment parameters are flexible and you decide these upfront. They limit the amount that can be taken and also allow an end date
You can view parameters in your Mettle app by tapping ‘Connections’ from the account section of the app
You can remove a VRP connection directly from your Mettle app by tapping ‘Remove Connection’
What can VRPs for sweeping be used for?
There are lots of different ways VRPs could be used, like sweeping (moving) funds from your current account to your loan or savings account.
For example, you could set a rule that transfers money to your second account any time your Mettle balance reaches a certain value. You can also set maximum and monthly transfer limits, as well as set an end date for the transfers.
How do I set up a VRP for sweeping?
You’ll need to do this through a third-party payment provider. The payment provider will redirect you to your Mettle app to approve the connection.
Approving a VRP or sweeping payment connection will mean that you agree to give a payment provider permission to make payments on your behalf for an agreed time period. You can remove this consent at any time from ‘Connections’ in the Account section on your Mettle app.
What’s next for VRPs?
At the moment, Mettle only supports VRPs between two accounts in your name – which is known as sweeping payments. In the future, VRPs could be used for your streaming subscriptions, utility bills, membership payments, or even one-click checkouts. These are referred to as non-sweeping – because they are between an account under your name and another third-party.
Interested in finding out more? Check out all Mettle's business bank account features.