Build with AI

The Modulr MCP is live!

At Modulr, we're all about streamlining money movement. And now, we're streamlining integration into our payments automation platform.

Our new MCP connector allows AI coding tools to significantly cut down the time it takes to connect to and integrate with our platform, making it up to 3x faster for developers to build working prototypes.

Read more about Modulr's MCP

Commercial VRP

Commercial VRP sandbox is now available!

Alongside our live product, we’ve launched the commercial VRP (cVRP) sandbox. You can simulate successful payment flows and error scenarios, giving your team a working view of the API before moving to your live integration.

Try out sandbox here

Direct Debit collections

Automatically sweep successful Direct Debit collections

Do you regularly move money collected by Direct Debit out of Modulr? Soon you won't have to do it manually.

From September, you can opt in to switch on automatic sweeping. Once your Direct Debit collections clear, Modulr automatically moves the funds straight to your own account at another bank or PSP. no manual transfers needed.

This will run automatically on Day 5 of the collections cycle, once all Direct Debit returns (ARUDD) are complete, so your funds keep moving without manual transfers.

Here’s a short breakdown of how it works:

• You opt in and tell us which account to sweep to (it must be verified as yours)
• Modulr collects your Direct Debits as normal
• On Day 5 of the collection cycle, once all returns and reversals (ARUDD) have completed, we sweep the successful funds to your account automatically

The result: your money keeps moving on schedule, without you having to lift a finger.

Direct Debit collections

Get notified about Direct Debit Indemnity Claims (DDIC)

The Modulr API now provides notifications and the status of Direct Debit Indemnity Claims (DDIC); a claim raised when a payer disputes a collection.

If you take Direct Debit collections, we'd recommend registering for these webhooks. They let you see claims as they come in and act on them quickly, before they cost you.

Most claims can be self-challenged. Here's how:

• Log in to the Bacs Payment Services Website using your organisation's Primary Security Contacts (PSCs), these were set up at onboarding and can add or manage other users
• Pay.UK publishes a helpful DDIC guide covering the challenge process (register at http://Bacs.co.uk with your Service User Number to access)

Read our full guide on setting up your webhooks and improving your claim handling.

Direct Debit collections

Pay.UK has updated the Direct Debit scheme rules - effective 1 September

Pay.UK has published updates to the Service User's Guide and Rules to the Direct Debit Scheme (SUGR DD). The changes take effect on 1 September 2026.

If you collect Direct Debits under Modulr's sponsorship, this affects you. Every Service User we sponsor is required to understand these rules and stay within them, so it's worth reviewing what's changed before the update lands.

You can access the full rules any time. Register at http://Bacs.co.uk using your Service User Number (SUN), and you'll be able to view the guide and the summary of latest changes.

FX is coming to the payment flow

Every cross-currency payment that runs through a separate FX provider is work your finance team does twice: two platforms, two reconciliations, and two sets of data that don't talk to each other.

FX touches treasury, finance, and operations, but rarely has a single owner. The cost of managing it chasing payment status, correcting beneficiary details, and reconciling across systems, never gets measured. And most providers still won't show you what the conversion actually costs.

The more international payments you process, the more that fragmentation drains time and resource. Something's coming to Modulr to change that.

We've built currency conversion into the same platform as your payments, accounts, and cards, so conversion and reconciliation happen in one flow, not across two systems. Rates come straight from mid-market, with no hidden margins. Over the coming weeks we'll break down exactly what that means: how conversion works, and how reconciliation fits in.

If your business makes cross-currency payments and wants to see what consolidated FX looks like, Register your interest for Modulr FX: https://share.hsforms.com/268jPohpTQwmvF5Fccq-rog1co3o