The solution designed for all merchants but is especially valuable for those in investing, gaming, trading, financial services and other industries that require robust know your customers (KYC) processes, the companies said in a Thursday (Feb. 29) press release emailed to PYMNTS.
The new solution is backed by the capabilities of Socure, which provides artificial intelligence (AI) for digital identity verification, sanction screening and fraud processing, and Trustly, which enables open banking payments, according to the release.
With Socure’s ID+ platform and Trustly’s Pay by Bank offering, merchants can onboard users and process payments in one integrated flow, the release said. This combination shortens user onboarding while ensuring regulatory compliance.
This solution will help merchants overcome the challenges they face with conversion drop-offs when acquiring new customers who are required to complete KYC during onboarding, per the release.
“Combining open banking with KYC and screening greatly enhances the robustness of user onboarding and incorporates a seamless payment solution, providing consumers the ultimate onboarding experience,” Craig McDonald, chief business development officer at Trustly, said in the release.
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Evan Rabinowitz, vice president of business development at Socure, added: “We think this diversity in payment types brought about by open banking is representative of a new era for consumer choice. We have a shared belief that trusted identity is essential to the transformation of open and connected banking.”
PYMNTS Intelligence has found that consumers are demanding technology that provides convenience and speed when accessing financial accounts. At the same time, the threat of possible fraud and data breaches has risen, according to the “Alternative Payments Tracker®,” a PYMNTS Intelligence and Socure collaboration.
There’s also a growing demand for pay-by-bank options at a time when merchants are seeking alternative payment methods (APMs) that deliver efficiency and alleviate the rising cost of card processing, Clark Dumas, head of merchant success at Trustly, told PYMNTS in an article posted in January.
“As merchants vet APMs, many will seriously consider pay by bank as a viable option,” Dumas said.
