Thursday 10th November, 2022
This new solution enables consumers to permission their financial data to be shared seamlessly between trusted parties to let them pay bills directly from their bank account with greater security. For billers and merchants, it automates consumer onboarding and reduces the risk and cost of storing bank account information.
Pay-by-Bank holds potential for billers to take the pain out of recurring payments such as rent, utilities, payments to government, tuition, insurance, and health care where ACH is the primary medium of payment.
Billers whose consumers already pay with ACH can choose to integrate the J.P. Morgan Payments Pay-by-Bank solution on their existing payments page. At checkout, consumers select “Pay-by-Bank,” where they will be prompted to find their bank, verify themselves using their own bank’s familiar authentication process — a biometric scan, for example — and securely share their bank account information with JPMC to complete the payment on behalf of the biller.
J.P. Morgan Payments and Mastercard are piloting Pay-By-Bank with a small number of U.S.-based billers and merchants this year and expect to expand in 2023.
“We realized years ago that the way people think about money and commerce is changing,” EVP, Mastercard Chiro Aikat says. “They want to pay and get paid how they choose, where they choose and when they choose. We’re excited by this new partnership with J.P. Morgan Chase, and our opportunity to empower people with enhanced payment experiences.”