Trustly Expects to Process $100 Billion in Open Banking Payments in 2024

Open banking payments firm Trustly said that it expects to process a record $100 billion in total payments value (TPV) in 2024.

To date, more than 112 million consumers have used Trustly’s products, the company said in a Wednesday (Oct. 23) press release emailed to PYMNTS.

“Trustly’s remarkable growth is further proof that Open Banking Payments are a viable alternative to cards,” Alexandre Gonthier, founder and CEO of Trustly, the Americas division of Trustly AB, said in the release.

The company attributed much of its growth in North America, where it expects to see 33% year-over-year growth in 2024, to its risk engine that allows guaranteed payments at scale against nonsufficient funds, fraud and other non-payment risks.

In Europe, Trustly has seen new launches with Lenovo and Foodora, according to the release. It has accelerated it expansion in Germany and plans to continue its strategic growth across Europe.

“The modern account-to-account space is set to reach $10 trillion by 2028,” Johan Tjärnberg, group CEO of Trustly, said in the release. “And we’re proud our innovative payment solutions are leading the way.”

Forty-six percent of U.S. consumers are highly willing to use open banking payments for at least one product or service, according to the PYMNTS Intelligence and Trustly collaboration, “Consumer Sentiment About Open Banking Payments.”

Among millennials, 66% are highly willing to do so, the report found.

Pay by bank and open banking offer several advantages over traditional card payments, Gonthier told PYMNTS in an interview posted in June. For billers, pay by bank can reduce card acceptance fees, Gonthier said. For consumers, it provides an evergreen account that doesn’t expire and has a lower decline rate due to simpler risk engines.

The use cases for pay by bank and open banking are diverse and growing, Gonthier said. They include billers, because consumers are accustomed to paying bills with their bank accounts; financial services like remittances and wallet funding, because they benefit from the lower costs associated with pay by bank; and the online sports betting market, because of limitations on credit card usage and transaction limits associated with debit cards.