vobapay, the technology partner for payment solutions with a cooperative background, and Mastercard (NYSE: MA) are entering into a strategic partnership. As part of their latest cooperation, vobapay will aim to integrate Mastercard’s Open Banking tech into its platform.
This will reportedly allows companies that work with vobapay to offer their customers secure and fast account-to-account (A2A) payments directly at checkout.
Open Banking enables bills or purchases to be paid directly via bank login: PSD2-compliant and with strong customer authentication (e.g., fingerprint or Face ID).
One of the benefits is that no card details are needed.
This reportedly results in considerably fewer abandoned purchases along with immediate payment confirmation, according to the announcement.
And for the merchants, this means “faster cash flow, reduced risks, and a significant simplification of processes.”
In the same way that smartphones become better and more secure with regular updates, Open Banking brings “a real upgrade to digital checkout.”
Payments are made directly from the bank account (which is in real time, and with adequate security).
Companies are said to benefit from significantly lower costs compared to more traditional payment methods, quicker payment receipts for increased liquidity, strong customer authentication with “minimal chargeback risk, and higher conversion rates thanks to a seamless payment process.”
Valerie Nowak, Executive Vice President, Head of Open Finance APEMEA at Mastercard, says:
“Our partnership with vobapay is an important step toward making the benefits of Open Banking even more widely available. Together, we are creating a solution that enables seamless and secure account-to-account payments – for both consumers and businesses. With this collaboration, we are setting new standards for efficient, transparent, and trusted digital payment experiences.”
Ralf Linden, CEO at vobapay said:
“With Mastercard Open Finance, we are expanding our portfolio with a solution that creates clear added value in both B2C and B2B environments. Consumers benefit from a fast, familiar, and secure checkout, while merchants can increase their conversion rates and reduce cart abandonment. B2B companies benefit even more: Especially for large shopping carts or recurring invoices, direct account-to-account payments ensure greater speed, security, and transparency – without card limits and with stable liquidity. “
