FIS Widens Access to Open Banking Through Collaboration With Banked
Key facts:
- FIS and Banked have formed a strategic partnership to create new pay-by-bank solutions for businesses and consumers by leveraging the power of open banking, APIs and real-time payments services.
- Pay-by-bank solutions allow payments to be sent between interbank accounts within minutes with lower costs, enhanced security, and improved user experiences.
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As open banking matures in
the United States , FIS is bringing pay-by-bank features and capabilities to critical industries like insurance, higher education, utilities, governmental agencies and more.
Pay-by-bank solutions simplify payments by combining the benefits of real-time payment rails with the flexibility and efficiency of open banking, where third-party financial service providers have direct access to banking data to complete digital payments. As a result, business and consumers can make payments directly between business and consumer bank accounts without the need for card details, account numbers or sort codes. Businesses benefit from less fraud, reduced friction, faster settlement and lower processing fees, while consumers enjoy a smoother payment experience, easier verification and faster access to funds.
"Corporations and consumers are clamoring for solutions that move their money easier and faster, and as open banking and fraud prevention mature, FIS is in a unique position to start offering pay-by-bank solutions for both businesses and consumers,” said
Digital payments are experiencing significant growth due to consumers’ increased adoption of digital wallets and mobile payments apps. They have become the preferred method of fulfilling payments for both merchants and consumers, and the 2023 FIS Global Payments report found account-to-account (A2A) payments like pay-by-bank generated an estimated
"Our mission at Banked is to make payments better for everyone, and we are excited to join forces with FIS to make that vision a reality," said
In 2023, FIS helped spur the adoption of real-time payments by being one of the first in the fintech industry to complete testing and certification for the FedNow Service, and its new partnership with Banked promises to capitalize on that momentum to modernize a payments segment ripe for disruption.
FIS is a leading provider of technology solutions for financial institutions and businesses of all sizes and across any industry globally. We enable commerce by unlocking the financial technology that powers the world’s economy. Our employees are dedicated to advancing the way the world pays, banks and invests through our trusted innovation, system performance and flexible architecture. We help our clients use technology in innovative ways to solve business-critical challenges and deliver superior experiences for their customers. Headquartered in
Banked is creating a new global payments network and providing a flexible alternative to mainstream payment methods. With Banked, consumers can pay directly using their bank without entering any financial data. There is no need to create an account or share financial details; authorization is biometric, and the merchant receives the funds in full and in real-time. Businesses benefit from up to 90% lower fees than traditional payment methods and virtually no fraud, promoting lower prices for consumers. Banked also enables businesses to drive customer engagement and loyalty with incentives and rewards integrated into the payment experience. The company has offices in
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Senior Vice President
kim.snider@fisglobal.com
Source: