Visa The Embedded Lending Opportunity April 2024 Banner

Pathward and TabaPay Expand Collaboration on Faster Payments Solutions

Pathward, TabaPay Expand Collab on Faster Payments Solutions

Pathward and TabaPay announced an expanded partnership to enhance Pathward’s suite of faster payments solutions.

The collaboration aims to empower FinTech firms, merchants and platforms with faster payments nationwide, catering to consumer expectations, the companies said in a Thursday (Oct. 26) press release.

The expanded partnership between Pathward, a U.S.-based financial empowerment company, and TabaPay, a money movement platform, builds upon their initial alliance established in 2020, according to the release. By connecting to the TabaPay platform, Pathward aims to provide its partners with enhanced money movement capabilities, offering a more complete end-to-end solution through its Banking-as-a-Service (BaaS) offering.

There is growing demand for easier ways to move money within the FinTech ecosystem, Will Sowell, Pathward’s divisional president of BaaS, said in the release. TabaPay’s payments platform provides a path for push and pull funds, enabling instant payments. The partnership will contribute to “making the financial system accessible for more consumers and commercial arrangements, regardless of how they transact.”

Through the TabaPay platform, Pathward’s partners will gain access to a suite of payment solutions, including account-to-account transfers, corporate disbursements, account loads and unloads, and payouts, according to the release. TabaPay’s all-in-one processing platform simplifies processing, liquidity management, reconciliation and settlement, and offers least-cost routing through its unified application programming interface (API).

Embedded finance is ushering in a new “faster and cheaper” instant payment reality, TabaPay Co-Founder and President Rodney Robinson told PYMNTS in an interview posted in May 2022.

With that capability, companies can adopt solutions to “consumerize” their B2B payments and meet the demands of millennial and Generation Z buyers who expect digital, frictionless and seamless online payments, Robinson said.

“What we’re seeing among millennials who are in fairly senior positions in some of these digital bank companies or new lenders is that they want it easy,” Robinson said at the time. “So, from a service provider standpoint, that’s what we’re focused on: lower costs and high speed.”

Companies that not only meet but also exceed the payment demands of these younger customers will more successfully attract and retain this key demographic and set the foundation for a relationship that can build a bridge to long-term brand loyalty.