J.P. Morgan has officially launched its pay-by-bank solution powered by Mastercard, enabling billers to offer their customers a convenient way to pay their bills directly from their bank accounts. This new offering leverages Mastercard’s open banking technology to enhance J.P. Morgan Payments’ ACH (Automated Clearing House) capabilities, resulting in a payment solution that emphasises choice, security, and a seamless experience for billers and their customers.
Max Neukirchen, Head of Payments & Commerce Solutions at J.P. Morgan, expressed the company’s commitment to providing diverse payment options to its clients. The partnership with Mastercard facilitates secure and straightforward payments directly from bank accounts, and J.P. Morgan is enthusiastic about the potential of this service, with a growing list of biller clients across the United States expressing interest in adopting the Pay-by-bank solution to streamline their processes and enhance payment efficiency.
Verizon is planning to pilot J.P. Morgan Payments’ Pay-by-bank offering with its U.S. customers in the near future. Pay-by-bank is designed to give merchants the ability to offer their customers the option of paying directly from their bank accounts using traditional ACH banking methods.
J.P. Morgan Payments’ Pay-by-bank solution addresses various pain points, particularly for billers. Those who already receive payments via ACH can seamlessly integrate this offering into their existing payments system. Consumers can select “Pay-by-bank” and choose their bank, securely sharing their bank account information through Mastercard’s open banking platform for recurring payments, including rent, utilities, tuition, account top-ups, insurance, and healthcare.
Chiro Aikat, EVP, U.S. Market Development at Mastercard, highlighted the evolving preferences of digital consumers who seek choice and value in their payment interactions. They are also looking for greater control over their finances, especially for recurring expenses like monthly bills. The partnership between Mastercard and J.P. Morgan Payments is intended to meet these needs by providing billers and merchants with a simple, seamless, and secure payment experience for their customers.
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