Mastercard and PayPal announced Thursday (Oct. 5) an expansion of its partnership to include Canada, Europe, Latin America, the Caribbean, the Middle East and Africa.
In a press release, the two payment companies said the move is designed to enhance customer choice, improve the customer experience and make Mastercard a clear payment option within PayPal across the globe. The companies noted the global expansion of their partnership will create joint growth opportunities that will further both Mastercard’s and PayPal’s visions to give customers more choice and flexibility in making payments.
“Today’s news is the latest in a line of great partnership developments with Mastercard,” said Gary Marino, SVP of The Americas and Global Credit at PayPal, in the press release. “Together, we expect to accelerate digital payment adoption across the world, improve the payment experience online, in-app and in store, and empower millions of consumers to seamlessly manage and move their money.”
With the expanded deal, Mastercard will be presented as a clear and equal payment option within the PayPal Wallet, making Mastercard and its issuers easily identifiable to consumers during transactions. What’s more, consumers will be able to choose Mastercard as their default payment method so they can check out easily and quickly, the companies said.
Mastercard and PayPal said they will work together to leverage new Mastercard payment flow technologies, and that consumers will be able to easily add Mastercard cards into PayPal from banking apps. PayPal will have the opportunity to expand its presence at the point of sale by using tokenization services from Mastercard, which will allow customers to use their tokenized Mastercard in their PayPal Wallet to make in-store purchases at more than 6.5 million contactless-enabled locations around the world. Additionally, consumers will be able to quickly cash out funds held in their PayPal accounts to a Mastercard debit card.
“People everywhere know and trust the familiar Mastercard brand, whether they’re paying in the physical or digital world,” said Ann Cairns, president of international markets for Mastercard, in the same press release. “Our expanded partnership with PayPal affirms our commitment to our billions of cardholders across the globe to deliver the simple, speedy and secure payment experience they’ve come to expect from Mastercard, across devices and channels.”