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What are the main advantages of payment initiation? With payment initiation, online payment flows are made faster and more transparent. And because the old multi-layered e-banking system of payment gateways and bank interfaces becomes obsolete, those related additional banks fees are now a thing of the past. In effect, payment initiation removes the gateway’s middle-man charges. This competitive pricing is an important factor in adoption, but the technological infrastructure that makes payment initiation possible brings with it numerous other innovative advantages as well. For example, since payment initiation means communications around payments occur programmatically between APIs instead of human users, it’s then possible to make payment flows more intelligent than ever. Payment credentials are encrypted as part of the new infrastructure, which adds improved security layers to combat fraud and other malicious cyber threats. Moreover, these encrypted layers can also be tokenized. When tokenization is engineered into the payment flow, the payee is able to reuse their encrypted credentials to programmatically execute new payment operations. These can then be triggered when certain predefined conditions are met, all without human supervision (although the payment will need to be signed by the user). In another improvement to old banking norms, payment initiation also allows for real-time direct bank transfers, whereas historically bank transfers could take up to 24 hours to clear. This is because the PISP’s API that interfaces with the bank can route the transfer to an account at the same bank where possible, making it go through in real time.