Marqeta (NASDAQ: MQ) and Plaid have formed a partnership, according to a corporate statement. Marqueta will be leveraging Plaids’ bank account information to streamline the ACH process.
Marqeta is the biggest name in modern card issuance and management and Plaid is a leader in the open banking (open finance) sector. The collaboration will enable ACH transactions to send money between customer accounts and external accounts faster and w9tu greater certainty.
Vidya Peters, Chief Operating Officer at Marqeta, said that by partnering with Plaid they are making it as simple as possible for consumers to access their bank information from a single application, reducing the time it takes to fund and begin using their account.
“Through our Plaid integration, developers building on Marqeta can authenticate users’ bank accounts without the complexity and extra time associated with traditional ACH processing, creating an overall more seamless experience.”
Plaid currently works with more than 12,000 financial institutions to deliver financial products and services. A benefit of the partnership is said to be enhanced security: Marqeta customers will avoid storing sensitive information from their cardholders’ external bank accounts as they will only need to handle tokens, while Plaid and Marqeta exchange bank account information in the background.
“The future of financial services involves a simplified, secure way to share financial information and move money across applications,” said Eric Sager, Chief Operating Officer at Plaid. “Legacy infrastructure laid the groundwork for the payments landscape, and Plaid’s partners like Marqeta provide a faster and more seamless experience for our joint customers to securely offer ACH transfers.”