Brankas Provides Direct API Services After Obtaining Bank Indonesia Permit

Startups fintech solution provider open finance Brankas officially introduces its newest solution, Brankas Direct API. This solution comes after Brankas received approval from Bank Indonesia to obtain a PJP Permit Category 2 license for Account Information Services (AInS) or Fund Source Information Provision Service.

"We really appreciate the trust that Bank Indonesia has given to Brankas to become the first company in Indonesia to have an AInS license. Solving customer problems is our top priority, and we're thrilled that our payments API helps speed reconciliation, reduce payment failures, and enable better experiences. embedded finance," said Co-Founder & CEO Brankas Todd Schweitzer as quoted from company blog.

Brankas Direct API is the solution pay-by-bank, one of the payment solutions via bank accounts that offers a settlement process real-time. For customers, they can use Brankas to securely share their bank account balance information for payment initiation, enabling payment verification real-time and automatic notification if funds are insufficient.

The advantage of this solution is that it allows funds to be transferred instantly without risk fraud or losses that commonly occur in the method escrow traditional. Customers can also make digital payments easily without needing to physically own or carry a credit/debit card.

Thanks to the AInS license, the company fintech, retail, to corporate online can use the Brankas Direct API to securely access connected bank account information of their customers. Added capabilities read-only this allows transaction verification real-time for return or payment.

“This gives customers extra assurance of successfully processing refunds and payments, while reducing risk fraud from unauthorized transactions. Business with subscription payment model (recurring payments) can also notify customers early about the condition of an insufficient account balance, thereby reducing the potential for service disruptions or additional costs from failed payments," he added.

Apart from obtaining the AInS license, the central bank also gave its blessing to Brankas to organize activities Payment Initiation and/or Acquiring Services (PIAS) or Payment Initiation and/or Acceptance Services. Thus, Brankas is permitted to provide services for forwarding customer payment transactions and accepting payments for businesses.

Payments accommodated include insurance premiums, loan payments, e-commerce transactions, top-ups e-wallet, online subscriptions, up to payment gateway virtual accounts, to provide regular payment options and digital-based single payments to consumers who have given their consent. Brankas' closest player, Ayoconnect, has had a similar license since June 2023 as PJP Permit Category 1.

The classification of payment system service providers has been prepared in Bank Indonesia Regulation (PBI) No. 22/23/PBI/2020 concerning Payment Systems (PBI SP).

1. Payment Service Provider (PJP) which is a Bank or Non-Bank Institution that provides services to facilitate payment transactions to service users. Activities include: administration of Fund Sources; provision of Fund Source information; payment initiation and/or acquiring services; and remittance services.
2. Payment System Infrastructure Operators (PIP) are parties that organize infrastructure as a means that can be used to transfer funds for the benefit of their members. Activities: clearing; and/or final settlement.

PJP players are also required to have at least one of the three available permit categories:

1. PJP Permit Category 1: AIS, PIAS, AInS, and remittance services.
2. PJP Permit Category 2: PIAS and AInS.
3. PJP License Category 3: remittance services and others.