Mastercard is stepping up its open banking activity through partnerships with merchant solutions business Worldpay and BNPL firm Zip.
The deal with FIS unit Worldpay means people can permission their data to be shared (not stored) seamlessly between trusted parties and securely pay bills directly from their bank account.
Mastercard says that its open banking technology removes the friction associated with manually typing in routing and account numbers each time. It also automates consumer onboarding for billers and merchants and reduces the risks and costs of storing bank account information.
"We are delighted to partner with Mastercard to leverage their open banking platform in the U.S. to offer secure and seamless account verification services, providing our customers with enhanced payment options and advance open banking around the world,” says Sudev Balakrishnan, chief product officer, Worldpay Merchant Solutions, FIS.
Meanwhile, Mastercard's open banking arm Finicity is being enlisted by Zip to boost the real-time underwriting process of Zip’s lending programme.
Jess Turner, EVP, global open banking and API, Mastercard, says: “We’re providing more payment choice, redefining how identity is established and authenticated, and opening doors to tailored solutions that will revolutionize financial experiences.”