BofA Extends ‘Pay by Bank’ to Euro Payments

Bank of America has made its Pay by Bank payment solution available for euro currency payments, the bank announced Monday (Oct. 10).

Offered in conjunction with Banked Ltd., the roll-out follows the U.K. launch of Pay by Bank in February this year and lets eCommerce shoppers pay directly from their bank account, Bank of America (BofA) said in a news release emailed to PYMNTS.

Based on the concept of open banking, Pay by Bank transactions take place in real-time with no credit or debit card details necessary. BofA said this leads to a “fast and secure online checkout process that benefits consumers as well as merchants.”

As PYMNTS has noted, proponents of Pay by Bank say the payment option is streamlined and more secure, as it eliminates much of the data merchants need to store about their customers. And because the funds are deducted from a person’s bank account, customers avoid paying credit card fees.

Read more: Bank of America Backs UK FinTech Banked to Deliver Pay by Bank Solution

“Pay by Bank is a great example of how we develop technology with our clients’ business models top of mind,” said Chris Jameson, head of Product Management, GTS EMEA at Bank of America. “For example, the Pay by Bank interface can be adapted by European market location and country which in turn, optimizes the local user experience.”

Earlier this year, BofA led a $20 million funding round for Banked to widen Pay by Bank’s reach, PYMNTS reported in February.

Learn more: Bank of America Adds $100M in Low-Cost Deposits to Minority-Led Banks

Last week, BofA announced it was adding $100 million in low-cost deposits to minority depository institutions (MDIs), doubling its existing deposits in those institutions.

The bank said these low-cost deposits let MDIs expand their lending capacity and other banking services in minority and low- to moderate-income communities.

“It is well recognized that MDIs are a critical resource to minority and underserved communities by providing banking services, creating jobs and helping businesses grow,” Bank of America Chief Administrative Officer D. Steve Boland said.

For all PYMNTS EMEA coverage, subscribe to the daily EMEA Newsletter.