As the financial services industry undergoes rapid digital transformation, banks are facing growing competition from alternative providers. With 75% of consumers and SMEs seeking out alternative cross-border payment providers beyond their primary bank, financial institutions must act quickly to modernise their offerings and reclaim customer loyalty.
The challenge lies in delivering the transparent, low cost and instant experiences that today’s customers demand - a hurdle compounded by legacy systems and business models. However, the opportunity is there, as 81% of consumers and 87% of SMEs turn to their banks first for foreign exchange rates.
To stay competitive, banks will need to adopt new tactics that address evolving customer needs and invest in the latest technologies. Here are four key strategies banks can leverage to win at cross-border payments.
Transparency as a secret growth lever
Today's consumers demand full transparency when it comes to their payments. They want to know the exact amount they're paying and when it will arrive.
In fact, 71% of consumers say they would abandon their payment provider over opaque pricing and fees. These findings highlight the growing importance of pricing clarity in the highly competitive payments landscape.
The business case for transparency is clear, but here’s where it gets tricky: The traditional model of global payments forces transactions to pass through multiple intermediaries, hindering processing transparency, racking up fees and navigating compliance hurdles before reaching the final beneficiary.

71% of consumers say they would abandon their payment provider over opaque pricing and fees.
So what's the solution for banks? Banks should seek out correspondent providers with direct connections to domestic payment systems to increase transaction visibility and reduce costs. Additionally, banks should pursue partnerships where transparency is a core part of the wider business ethos.
Transparency is no longer optional in this space - it's essential for any payments provider that wants to stay competitive. Banks that achieve this level of transparency will be well-positioned to thrive in this market.
Customer experience as a strategic mandate
Customers today also demand instant, reliable payments - and banks that can’t deliver risk getting left behind. According to Swift, a staggering 79% of consumers now expect their payments to arrive in under an hour. Fail to meet this expectation, and customers will look for alternative providers who they trust to deliver fast, low-cost international payments.
A recent study also found that financial service providers offering instant payments enjoy 6% higher customer retention rates than those offering 48-hour delivery. What's more, 44% of consumers say they simply won’t use a provider again if their payment is delayed.
The writing is on the wall - customers and businesses now expect speed, reliability and predictability from their payments provider. But achieving this seamless experience can be a challenge when dealing with legacy systems and processes.
To rise to this challenge, banks need to think outside the box, partnering with the right providers who can streamline payments, automate operations and boost straight-through processing rates. This not only increases the speed of transaction processing, but also reduces failed payments - delivering a seamless, frictionless payments experience for customers.

Financial service providers offering instant payments enjoy 6% higher customer retention rates than those offering 48-hour delivery.
The rewards for banks that get it right are clear - sustained customer loyalty and a decisive edge over the competition. By embracing this new, more efficient and customer-centric model, banks can future-proof their payments offerings and stay ahead of the curve.
A robust, global network is a must
When it comes down to it, the infrastructure a bank invests in is perhaps the most critical factor for success in cross-border payments. Robust, customer-centric infrastructure enables transparency and delivers the exceptional payment experiences today's consumers demand.
Over the past decade, we've seen a surge of innovations in domestic payments, enabling faster, more convenient and cost-effective transactions for consumers and businesses. Faster payments networks in places like Australia and the UK have raised customer expectations for instant, seamless payment experiences both at home and abroad.
Innovation within domestic payments infrastructure hasn't just impacted consumer behaviours - they've also opened the doors to faster, more efficient, transparent and cost-effective global payments. Payments providers can now plug into over 100 jurisdictions offering cutting-edge faster payments systems worldwide, allowing them to facilitate cross-currency transactions faster and more cost effectively than ever before.
Integrating with local payments infrastructure is becoming a key way for providers to offer transparent, customer - centric global payments - a major competitive advantage that is critical for success in the cross-border payments space.
Unlocking success with collaboration
However, building this global network isn't that simple for organisations doing it alone. It requires years of cultivating central bank and regulatory relationships, licensing, complex integrations and substantial investments to establish regional operations and resources in every market.
The biggest hurdle for banks building out their own global payments infrastructure is that they're laser-focused on domestic services like loans, credit and local account transfer. These services run on legacy systems designed to handle domestic payments - not international ones.
The good news? Banks can partner with specialised providers who have already done the heavy lifting. By tapping into an established global payments provider, banks can significantly reduce the time, effort and expense of developing their own network.
Recent findings from PYMNTS Intelligence highlight that 65% of banks and credit unions have engaged in at least one fintech partnership within the last three years, with 76% viewing such collaborations as essential to meeting customer expectations.
So, it’s clear that collaboration is emerging as a success factor for banks wishing to compete more effectively with their cross-border payments offerings.
Enter Wise Platform - a trusted partner to financial institutions worldwide. From global banks like Morgan Stanley and Standard Chartered to digital first banks like Europe's N26 and Brazil's Nubank, these organisations already work with us to deliver exceptional experiences and fast, transparent and low-cost payments to their customers. But how do we do it?
Our strategy of investing heavily in establishing direct connections to payment systems worldwide and forging partnerships with central banks, regulators and providers have allowed us to build a reliable global cross-border network that enables banks to deliver fast, low cost and transparent transactions to their customers.
What’s more, our real-time treasury management, operational automation and scalable compliance deliver a truly frictionless experience for your customers. In fact, our strengths in these areas have enabled us to achieve a 99% straight-through processing rate for our partners and their customers worldwide. And with simple API and Swift integrations and tailored white-labeled solutions, our partners can plug into our robust network without the costs and complexities of building their own.
Banks can and should win at cross-border payments - that's inarguable. But the path to victory lies in their approach. By embracing transparency, customer experience, a robust global network and agile fintech collaboration, banks can set themselves apart from the competition.
Wise Platform is proud to lead the charge for industry collaboration, empowering partners to leverage our capabilities and deliver exceptional payment experiences that drive customer satisfaction, loyalty and revenue.
Learn more about Wise Platform
*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.