Plaid Builds Partner Ecosystem to Simplify A2A Payments

Plaid is introducing an ecosystem of payments partners intended to deliver frictionless account-to-account (A2A) financial transactions that are smooth and secure, according to a blog post by Plaid Head of Revenue Paul Williamson.

“Plaid is building an account-based payments ecosystem as flexible and fluid as this burgeoning opportunity,” Williamson said in the post. “As the technology and consumer adoption evolve, so will Plaid and our partner ecosystem.”

More consumers are maintaining higher balances in FinTech apps and paying with digital wallets, the post stated. To accommodate the changing payments environment, Plaid is striving to help companies of all sizes and industries leverage the A2A payment opportunity, regardless of their technical capabilities.

See also: Plaid Launches Capital One Open Finance Partnership

Last year was the first time the worldwide use of mobile wallets — representing some 2.6 billion users — moved past cash volume for in-store payments. The use of digital wallets is anticipated to hit 4.4 billion users by 2025, according to the post.

“Account-based payments aren’t new, but the industry is far from realizing their full potential,” Williamson said in the post.

Plaid’s new ecosystem includes close to 50 partners — comprising payment firms, tech companies, and Banking-as-a-Service (BaaS) providers — in North America and Europe. The partners service a wide breadth of verticals that offer the tools needed to create top-notch FinTech experiences, the post stated.

Read also: FinTech Startup Plaid Unveils Payments Program

Alongside the ecosystem launch, Plaid is also partnering with Checkout.com and Marqeta to further advance connected payments experiences for FinTechs using Plaid, according to the post. Account-based payments can help companies boost customer experiences and conversion, as well as increase loyalty and reduce expenses.

“Our partnership will connect Plaid’s account verification and Checkout.com’s payment services to make account funding accessible, seamless and secure for FinTechs and merchants alike,” said Checkout.com Vice President of Partnerships Tracy Meng in the post. “This is just the beginning of our shared journey to unlock the future of embedded finance.”

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