Acculynk Predicts Growth In Direct to Debit Payouts

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Growth in non-traditional labor market drives changes in payment practices

Acculynk CEO Ashish Bahl predicts the continuing growth in the so-called ‘on demand’ labor market will result in explosive growth in direct to debit card electronic payments, fueled by the needs of so-called ‘shared economy marketplace’ companies like Uber, Airbnb and TaskRabbit. Since 2008 there has been a significant shift in the US workforce away from W2 employees and towards 1099 contract workers. Economists predict that there will be approximately 60 million 1099 workers in the US economy in just five years’ time, with a great many of those employees working completely independently, connecting to their ‘employers’ only electronically.

“The exponential growth in the shared economy marketplace companies will force competition for quality contract workers. These employers will have to think creatively about how to attract labor, and a faster, more efficient payment process will be a differentiator for them,” said Bahl. “As technology breaks down the traditional physical workplace-centered, employer/employee relationship, traditional ‘payroll’ methods are falling behind. Both employers and workers need a fast, efficient and secure method for making sporadic payments and the traditional bi-weekly payroll just doesn’t work.”

Acculynk Direct provides an alternative solution for 1099 workers and their employers, enabling near instant payment that is secure, effortless and low cost. The service connects the user to different debit payment networks across the globe, allowing them to receive funds in near real time anywhere around the world. Acculynk Direct can substantially increase consumer satisfaction through fast, frictionless delivery, while significantly lowering disbursement cost and fraud.

“Acculynk Direct is a logical extension—and reflection—of the power of the Acculynk network,” said Bahl. “This solution brings convenience to consumers and lower costs to high volume disbursers by taking advantage of our superior payment technology and existing infrastructure. Contractors will be able to request an on-demand payment directly to their debit card outside the by-weekly pay cycle, helping them manage their cash flow while keeping disbursement costs low.”

About Acculynk
Acculynk’s white label payment solutions drive down transaction costs, speed up settlement and minimize fraud for merchants, banks, payment networks and governments across the globe. Acculynk secures online transactions with a suite of software-only services, including Acculynk’s patented PaySecure® authentication and encryption framework. PaySecure is currently enabled on six leading payment processors, eleven EFT networks and more than 6,000 merchant websites. In addition, Acculynk is certified with PULSE, First Data and Master Card, and other industry leaders. Visit http://www.acculynk.com for more information.

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Nandan Sheth
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