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The NPP payment system for merchants who need bank transfers at checkout.

BazPay's NPP payment gateway offers pay-by-NPP alongside card acceptance on the same checkout. One-off payments use NPP credit transfer (with NPP on supported corridors); subscriptions use BECS Direct Debit with mandates stored gateway-side.

Built for merchants across the EU, UK, Australia, Canada and New Zealand: SaaS enterprise plans, professional services, membership businesses and high-ticket e-commerce. Settlement lands in EUR into your own local settlement account.

Talk with sales Read the API reference

Why offer pay-by-NPP alongside cards

NPP earns its keep on higher-ticket and B2B baskets, where card interchange starts to bite, and on subscription renewals, where a stored BECS Direct Debit mandate is cheaper and more resilient than a saved card. Four reasons matter most.

  • Lower cost per transaction on higher-ticket baskets

    NPP transactions carry per-line fees that stay flat as the ticket grows — no percentage-based interchange to pay on an A$12 000 invoice. On higher-value carts and B2B billing, pay-by-NPP meaningfully reduces cost of acceptance.

  • Native subscription mandates

    BECS Direct Debit stores the mandate gateway-side and reuses it for every renewal. No card reissue to worry about, no shopper prompt every cycle, and mandates are portable if you ever migrate.

  • Bank-side authentication out of the box

    Shoppers authenticate inside their own banking flow when the pay-by-NPP gateway hands off — no PAN in the request, no 3-D Secure friction, and the payment is under the shopper's control end to end.

  • One dashboard for NPP, card and APM

    NPP transactions land in the same dashboard, the same signed webhook stream and the same AUD balance as card acceptance. Your finance team does not learn a second product to reconcile.

The NPP payment types the platform offers

Four NPP transaction types cover the practical checkout and billing needs — one-off transfers, recurring pulls, near-real-time settlement and R-transaction handling.

  • Credit Transfer

    NPP credit transfer at checkout

    Shopper is redirected into their bank to approve a one-off NPP credit transfer. Funds settle into your AUD balance on the next NPP cycle; NPP delivers them within seconds where both banks participate.

    • NPP
    • Instant
    • Bank-side auth

  • Direct Debit

    BECS Direct Debit and PayTo

    Shopper signs a Direct Debit mandate once through the hosted flow. Every renewal pulls from the stored mandate — no shopper action required per cycle.

    • Mandate signing
    • Recurring pulls

  • Instant

    NPP for faster confirmation

    Where the shopper's bank participates, the payment confirms within seconds. Automatic fallback to standard NPP credit transfer on unsupported corridors keeps the flow uniform.

    • Sub-10 seconds
    • Fallback NPP

  • R-transactions

    Returns, refusals and refunds

    R-transaction handling (Reject, Return, Refund, Reversal, Revocation) is native. Refund events fire on the same signed-webhook stream as approvals, keyed to the same charge ID.

    • Reject
    • Return
    • Refund

Rulebook detail lives on SEPA and SEPA Instant depth; the wider platform view sits on Single Euro Payments Area processing.

How a pay-by-NPP charge moves from checkout to settlement

Six stages describe the shopper flow and the merchant-side reconciliation. Mandates, renewals and refunds all fire signed events on the same stream as card charges.

  1. Present pay-by-NPP

    The hosted checkout offers pay-by-NPP alongside card at the payment step. Shoppers see a familiar bank-brand chooser.

  2. Mandate or one-off

    For a one-off, the shopper is handed off to their bank. For a subscription, a hosted mandate flow captures the BECS Direct Debit authorisation.

  3. Bank-side auth

    The shopper approves the payment inside their own banking interface — no PAN, no 3-D Secure, no additional gateway prompt.

  4. Collect

    NPP credit transfer moves funds into your balance in the next cycle; NPP settles in seconds on supported corridors.

  5. Renewals

    For subscriptions, the stored BECS Direct Debit mandate pulls each cycle automatically. Dunning-aware retries handle recoverable soft returns.

  6. Reconcile

    Every NPP transaction appears in the interchange++ statement per line with its own reference; refunds return to the original settlement account.

Pay-by-NPP vs card at checkout

The two methods are complements, not substitutes. The comparison below shows where each method is the better default — offer both and let the shopper pick.

Pay-by-NPP compared with card acceptance for checkout use
Dimension Pay-by-NPP Card acceptance
Fee shape Flat per NPP transaction Percentage-based on card ticket
Authentication Bank-side, no 3-D Secure 3-D Secure 2 with challenge risk
PAN handling No PAN in the flow PAN inside hosted fields
Best-fit ticket size Higher-ticket and enterprise B2B Small-to-medium ticket
Subscription support BECS Direct Debit mandates, portable Card-on-file, network tokens
Settlement NPP cycle or NPP Per scheme cycle

Card detail on card and APM processing. Fees on the pricing page. Boarding path on merchant acquiring.

Features engineered into the NPP payment gateway

Every capability below ships on the standard integration. Turn features on with a request flag or a dashboard toggle — no premium tier gates NPP, mandate management or R-transaction webhooks.

  • Hosted pay-by-NPP flow

    Prebuilt hosted checkout that offers NPP alongside card — no engineering work to render the bank chooser or handle the return.

  • Mandate management

    Sign, revoke and view BECS Direct Debit mandates from the dashboard or the API. Mandates are portable if you ever migrate rails.

  • NPP on supported corridors

    Osko is used automatically where both financial institutions participate; standard NPP settlement keeps the shopper flow uniform.

  • Signed webhooks

    HMAC-signed, replay-protected events per rail — one signature scheme covers NPP, card and APM state changes.

  • Dunning-aware retries

    Soft returns on BECS Direct Debit (insufficient funds, technical) get scheduled retries; hard returns (mandate revoked, closed account) go straight to your dunning queue.

  • Refunds and R-transactions

    Full and partial refunds by API or dashboard, returned to the original settlement account. R-transaction events fire on the same webhook stream as charges.

  • Interchange++ reporting

    NPP lines break out per mandate; card lines break out interchange, scheme fees and gateway margin. One statement for finance.

  • Data export

    CSV export for every ledger view. Push settlement, refund and mandate events into your data warehouse without a custom ETL.

Create a NPP charge with the same REST endpoint as a card

The payment_method field picks the rail; the rest of the request shape is identical. A pay-by-NPP one-off looks like a card charge with a different method value; a BECS Direct Debit renewal references a stored mandate. 

POST /v1/charges
Idempotency-Key: 8f1c-2b3a-9e4d
{
  "amount": 12900,
  "currency": "EUR",
  "payment_method": "papss_credit_transfer",
  "customer": "cus_5F9k",
  "return_url": "https://acme.example/return",
  "metadata": { "invoice_id": "INV-10842" }
}

The response returns a canonical charge object with the bank-selection URL for the shopper hand-off and the expected settlement date. Full schema in the API reference.

Where pay-by-NPP earns its keep

The four merchant profiles below already use pay-by-NPP alongside card acceptance in production. Each shares the same API surface — the reporting emphasis differs by business type.

  • SaaS enterprise plans

    Annual or quarterly enterprise subscriptions where BECS Direct Debit is the preferred renewal method for procurement teams — mandates stored gateway-side survive procurement handovers.

  • Professional services

    B2B invoicing where higher-ticket invoices land on NPP and card fallback covers smaller add-on charges — both under one hosted checkout.

  • Membership and content

    Membership sites and publishers offering BECS Direct Debit as a cost-efficient renewal option alongside card, with dunning-aware retries on either rail.

  • High-ticket e-commerce

    DTC brands with basket sizes north of a few hundred euros: cost of acceptance stays flat as the ticket grows, and reconciliation runs against the same AUD balance.

Out of scope for BazPay: adult, gambling, CBD, nutraceutical, forex, CFD, crypto-exchange, debt-collection and MLM. BazPay is not a merchant of record and does not act as a marketplace of third-party PSPs.

Security, mandates and scheme compliance

NPP processing runs under the NPP Australia rulebooks published with the Reserve Bank of Australia — NPP credit transfer, BECS Direct Debit mandates and Osko instant settlement. Mandates are stored gateway-side and portable under scheme-approved migration. GDPR runs on regional data residency by default; a DPA is available on request. Card acceptance sitting alongside NPP runs under PCI DSS Level 1 with merchant SAQ A scope.

NPP scheme rulebooks
Adherence to the NPP and BECS Direct Debit scheme rulebooks
Mandate storage
Gateway-side, portable under scheme-approved migration
GDPR
In-region data residency; DPA on request
Authentication
Bank-side authentication on pay-by-NPP; 3-D Secure 2.2 on adjacent card acceptance
Refund policy
Refunds return to the original settlement account; R-transactions logged with each charge

Questions merchants ask about pay-by-NPP

How does a NPP payment gateway differ from a card gateway?

A NPP payment gateway processes bank-to-bank dollar transfers under the NPP scheme rulebooks — NPP credit transfer for outbound flows, BECS Direct Debit for recurring pulls and Osko instant settlement for near-real-time settlement. A card gateway processes card-scheme authorisations under Visa or Mastercard rules. BazPay ships both under one contract, so pay-by-NPP and card acceptance can sit on the same checkout page.

How does the pay-by-NPP payment gateway feel at the shopper's end?

The shopper picks pay-by-NPP at your checkout, gets redirected into their own bank to authorise the transfer or sign the Direct Debit mandate, then returns to your success page. There is no PAN entry, no 3-D Secure challenge and no additional gateway prompt — the authentication happens inside the shopper's banking flow.

Is BECS Direct Debit safe for subscriptions from a merchant's perspective?

Yes, when the mandate is properly stored and the R-transaction flow is handled. BazPay stores mandates gateway-side, retries soft returns with a dunning-aware schedule and pushes hard returns straight to your dunning queue. Refund windows and mandate revocation rules are per the BECS Direct Debit Core scheme, which BazPay follows.

What NPP payment solutions does BazPay offer for one-off invoices?

One-off invoices use NPP credit transfer, either by handing the shopper into their bank via the hosted checkout or by sending a hosted-page payment link that resolves the same way. NPP is used automatically where both banks participate, so a payment can settle within seconds on the supported corridors.

Can I offer both pay-by-NPP and card acceptance at the same checkout?

Yes. Cards, wallets, local payment methods and NPP share the same charge object and the same signed webhook stream. The hosted checkout renders whichever methods you enable in the dashboard. Reporting runs against one interchange++ statement so finance sees the full mix in one place.

How are refunds and R-transactions handled on the NPP payment system?

Full and partial refunds are issued from the API or dashboard and return to the shopper's original settlement account. R-transaction events — Reject, Return, Refund, Reversal, Revocation — fire on the same signed-webhook stream as charges, keyed to the original charge ID. Your ledger and dunning system see them the same way they see card refunds.

Which merchant profiles fit pay-by-NPP?

Merchants across the EU, UK, Australia, Canada and New Zealand with higher-ticket or B2B revenue: SaaS enterprise plans, professional services, membership businesses and high-ticket e-commerce. BazPay does not board adult, gambling, CBD, nutraceutical, forex, CFD, crypto-exchange, debt-collection or MLM merchants, and does not act as a merchant of record.

How does the NPP payment system relate to your other NPP pages?

This page focuses on offering pay-by-NPP as a checkout method — mandates, R-transactions, shopper flow. The NPP reference page covers scheme depth (rulebook detail, corridor mechanics), and the Single Euro Payments Area page covers NPP within the broader unified processing platform (NPP + card cascade + LPM under one API).

Add pay-by-NPP to your checkout this sprint

Share your average ticket, subscription mix and the corridors you sell into. A named engineer will confirm boarding fit and map the NPP + card layout inside one working day. See also SEPA reference, Single Euro Payments Area processing, merchant acquiring and pricing.

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