Understanding Settlements: How Network Ensures Fast & Reliable Payouts
For any business, receiving payments from customers is only half the battle—the real milestone is when those funds land in your bank or mobile money account. This process, known as settlement, is the backbone of your cash flow. At Network, we ensure settlements are fast, dependable, and transparent.
In this guide, we’ll cover:
- What settlements are and why they matter
- How payment processing works behind the scenes
- Network’s settlement cycles (and how they compare to competitors)
- Bank vs. mobile money payouts – which is best for you?
- Common pitfalls and how to avoid them
What Are Settlements?
Settlements are the final step in payment processing—where approved transactions are converted into actual money in your Network account.
Key Players in the Settlement Process:
- Customer – Pays via card, mobile money, or bank transfer
- Merchant – Your business, receiving the payment
- Payment Processor (Network) – Facilitates the transaction
- Acquiring Bank – Your business’s bank
- Issuing Bank – The customer’s bank
- Card Networks (Visa, Mastercard, etc.) – Route transactions
- Mobile Money Providers (M-Pesa, Airtel Money, etc.)
Why Settlements Matter to Merchants:
- Cash Flow – Delayed settlements can disrupt operations
- Predictability – Knowing when funds arrive helps with planning
- Competitive Edge – Faster payouts improve liquidity
How Payment Processing Works (Before Settlement)
Before funds settle, transactions go through several stages:
Step 1: Payment Authorization
- Customer pays via card, mobile money, or bank transfer
- Issuing bank/telco checks for sufficient funds and fraud
- If approved, the transaction is captured (but not yet settled)
Step 2: Batching at Network
- Approved transactions are grouped into a batch
- Batches are processed at set intervals for payments to be made
Step 3: Settlement by Network
- Funds move from the customer’s bank → Network → your bank/mobile money account
- Fees (transaction, processing, etc.) are deducted
How We Compare to Others
One of the simplest ways to ensure secure payments for businesses is investing in a comprehensive payment platform that provides a full range of security features such as encryption and fraud detection, to prevent data breaches.
Businesses need to:
- Prioritise security to protect customer information and maintain trust, while also preventing potential threats that result in lost revenue. Relying on single or limited payment options can put businesses at risk especially if there is room for possible exploitation such as fake sales.
- Along with investing in a payment platform, it is essential to monitor transactions regularly. A platform that offers automated monitoring will help to detect any unusual activity so that potential threats can be noticed quickly.
- Employees and anyone managing the site should also be educated on current scams and threats to understand data handling protocols.
Bonus Tip: Investing in a secure and safe payment gateway reduces risk and helps build customer confidence, which is vital for business success.
Bank vs. Mobile Money Settlements
Bank Transfers
✔ Best for: Large amounts and international transactions
✔ Options:
- RTGS – Local transfers from $100
- SWIFT – Cross-border (1–2 days, min. $250)
- SEPA – Euro transfers (2 hours, min. $250)
Mobile Money (M-Pesa, Airtel Money, etc.)
✔ Best for: Small businesses needing speed
✔ Speed:
✔ Lower thresholds – Ideal for frequent, smaller payouts
Why Network Settlements Stand Out
✔ Faster than competitors
✔ More options (bank + mobile money)
✔ Flexible cycles (daily, weekly, bi-monthly)
Got questions? Email us at [email protected]
Settlements FAQs
Based on your chosen cycle: weekly, fortnightly, bi-monthly, T+1 business day, or T+3 business days.
- Active Network account (not on hold)
- Correct bank details
- Minimum threshold met
- RTGS/SEPA: 2 hours
- SWIFT: 1–2 days
- IFT: Instant
- Mobile Money: Instant
