Stripe Powers Pay by Bank for Airbnb

Airbnb has partnered with Stripe to enable its customers to pay with a linked bank account.

With this partnership, customers of the online marketplace for short- and long-term home rentals can use Stripe’s Financial Connections and Link products to add the details of their United States bank account, save them and then pay by bank debit for future bookings with one click, the companies said in a Thursday (May 18) press release.

“We are excited to partner with Stripe to provide our guests with more options to pay for their travel, including paying by bank with Link,” Airbnb Chief Financial Officer Dave Stephenson said in the release.

PYMNTS research has found that pay by bank transfer has become a popular method for monthly bill payments and has begun making inroads in online shopping.

The payment method’s consistency and ease of use have endeared it to consumers, according to “New Payment Options: Building Stronger Customer Ties With Pay by Bank Transfer,” a PYMNTS and Nuvei collaboration.

The report found that 44% of consumers who try pay by bank transfer said they are “highly interested” in using the payment method again.

In the case of Airbnb, the firm is deploying two solutions from Stripe’s financial infrastructure platform: Financial Connections, which enables the addition of a bank account as a payment method, and Link, which allows that bank account data to be used for future bookings without having to reenter the details, according to the press release.

Airbnb customers who use Link can check out using the bank details saved from purchases at any Link-enabled business, the release said.

“Anyone who’s made a booking on Airbnb knows how great the experience is,” Stripe Chief Revenue Officer Mike Clayville said in the release. “For guests who want to pay using their bank account, we’re thrilled to partner with Airbnb to offer bank payments as an option that’s just as fast and convenient as anything else.”

Stored payment credentials are a driving force in eCommerce, Stripe Product Lead Josh Ackerman told PYMNTS in an interview posted May 8.

“Consumers care about and are going to optimize for what’s the fastest, most secure way to pay,” Ackerman said. “What we’ve seen is stored credentials and mobile wallets make those things incredibly easy and satisfy consumer needs.”