Bank of America [NYSE: BAC] and PayPal [NASDAQ: PYPL] today announced a strategic partnership that will soon enable Bank of America customers to transact with PayPal in stores and seamlessly link their Bank of America cards into PayPal.
The agreement will take effect immediately, with new experiences available to Bank of America customers in the first half of 2018 that will make it even easier for them to shop how, where and when they choose by leveraging the power and convenience of PayPal’s platform.
The two companies will work together to deliver the following enhanced experiences:
- In-store payments: Bank of America will partner with PayPal to tokenize Bank of America cards for customers wishing to use PayPal for in-store purchases, across MasterCard and Visa portfolios in the U.S. This will support PayPal’s forthcoming NFC mobile wallet experience to enable in-store tap-to-pay purchases and reflects Bank of America’s open wallet strategy.
- Account linking: Bank of America and PayPal will enable simple linking of accounts to make it easier for their customers to add their Bank of America cards into their PayPal Wallets.
- Digital representation of Bank of America cards: PayPal and Bank of America customers will see a familiar digital representation of their Bank of America-issued cards in the PayPal Wallet when they pay.
- Security and improved convenience: The companies will collaborate more closely and use tokenization technology, data, analytics and fraud tools to provide a secure and more convenient shopping experience in store, online and in-app.
“We’re always looking at ways we can deliver secure, convenient and fast payment solutions to meet our customers’ needs,” said Mark Monaco, head of Enterprise Payments at Bank of America. “Whether it is in-store, in-app or online, this partnership provides yet another option for the empowerment of customers.”
“At PayPal, we continue to partner with the most innovative and respected companies in technology, mobile and financial services,” said Gary Marino, chief commercial officer at PayPal. “This partnership will give us the opportunity to work with Bank of America to reach and serve new customers, improve security capabilities, enhance our mobile leadership and offer our millions of joint customers more choice when paying online, in apps and in stores.”