American Express is set to launch a new open banking product called ‘Pay with Bank transfer’ for UK consumers to make payments for online purchases using bank transfer.
The new payment product will be launched later this year and will facilitate quick and secure payment for goods and services online and on the move, directly from consumers’ bank account.
American Express will make Pay with Bank transfer a real-time payment option for current account holders at UK banks, irrespective of them being American Express Cardmembers.
American Express partners with multiple merchants to launch Pay with Bank transfer
The financial services company is partnering with various merchants to launch the new open banking product on their UK ecommerce sites later in the year. The merchants taking part in the programme span multiple industries, said American Express.
The company said that by utilising open banking regulation, Pay with Bank transfer will let merchants get instant payments from all the main UK banks’ current account holders.
For consumers, online payments can be quickly made without a card to hand through the new open banking product. Consumers can also check their bank current account balances before confirming payment, and will get bank-level data security for their transaction.
Consumers will have to click on the Pay with Bank transfer button displayed on the merchant’s payment page and select the bank they want to pay from. The consumer will then be redirected automatically to the webpage or app belonging to the bank for authentication and for approval of the payment details.
American Express vice president Dan Edelman said: “American Express is driving innovation in payments, and Pay with Bank transfer reflects our commitment to delivering choice for UK consumers and businesses through new ways to pay.
“Today’s announcement is another way American Express is offering digital-first solutions in our effort to be an essential part of our customers’ digital lives. We’re excited about Open Banking and the benefits this product will provide to both consumers and merchants.”
American Express said that it intends to introduce Pay with Bank transfer with its initial merchants by the year end, and will continue to roll out the new open banking product across more ecommerce sites throughout next year.
