PayDo says half of business clients overpay by up to 20% on cross-border payments as fragmentation pushes consolidation

PayDo’s analysis suggests the problem is not just pricing. One in two business clients arrives paying as much as 20% more on the total cost of moving money across borders, and two in three technology businesses joining the platform say fragmentation, not price, is what pushed them toward consolidation.

1. PayDo reviewed several hundred business clients over the past 12 months and found that one in two companies was overpaying by as much as 20% on the total cost of moving money internationally, compared with what the same volume would cost on consolidated, directly connected infrastructure.
2. The company says the overpayment is spread across the payment chain: intermediary and correspondent fees at different stages of the transaction, FX spreads widened by routing through providers without direct market access, reconciliation work across disconnected systems, and the financing cost of delayed settlement while working capital remains in transit.
3. For internationally trading businesses, PayDo’s client-base analysis shows a typical setup of 10 to 20 separate payment provider relationships, each with its own contract, integration, compliance process and reconciliation file. Close to one in three businesses arrives using five or more providers for collections alone.
4. Fragmentation is also what technology businesses say they are trying to fix. PayDo found that roughly two in three technology businesses joining the platform over the past 12 months named fragmentation, rather than pricing, as the main reason for moving to a consolidated provider.
5. PayDo estimates that moving a fragmented payment stack onto a single platform can cut a finance team’s reconciliation workload by around 30% and materially shorten the monthly financial close. Serhii Zakharov, CEO and founder of PayDo, said the problem is that “no single bill shows you the total” and the real cost only becomes obvious when the fees, FX slippage and float are added up across a year.

For PSPs serving high-risk or cross-border merchants, the takeaway is plain enough: clients often do not buy consolidation because it sounds tidy; they buy it because the stack has become expensive, slow to reconcile, and awkward to run. PayDo says its model combines acquiring, multi-currency accounts, Open Banking collections, payouts and FX under one contract and one integration, with principal membership of Visa and Mastercard and direct membership of SWIFT and SEPA.