Barclays accelerates growth of Pay by Bank app

Starting today, Barclaycard merchants now have the opportunity to accept mobile payments through Pay by Bank app, the new payment method created by Mastercard’s Vocalink business.

In addition, a greater number of consumers will also be able to pay using the functionality; in 2020 Barclays will be rolling out Pay by Bank app, currently live on its Pingit app, on its Barclays Mobile Banking App. This means over 6m users will be able to benefit from the service.

As the only bank in the UK which is both an issuer and acquirer, Barclays’ planned roll-out to both merchants and consumers will accelerate the growth of Pay by Bank app by adding both supply and demand simultaneously.

Pay by Bank app allows shoppers to pay quickly and securely for goods and services on a mobile device, without the need to enter payment details, logins or passwords. Customers simply select the Pay by Bank app option during the checkout process, at which point they log into their existing mobile banking app to seamlessly authorise and complete the purchase.

Merchants adopting the technology should see higher conversion rates for mobile transactions, because consumers don’t need to manually input payment details, as well as lower levels of fraud, due to the strong customer authentication and simpler digital dispute system.

This announcement builds on the bank’s track record of successfully driving the adoption of new payment technology. In 2003, Barclays was instrumental in launching Chip and PIN across the UK, and facilitated mainstream take-up of contactless in 2007.

Rob Cameron, CEO, Global Head of Payment Acceptance at Barclaycard, said: "Thanks to significant investments in our platform, clients have access to a growing range of payment types, each of which can help them increase market share by meeting the needs of more customers. With mobile now an essential part of every retailer’s channel strategy, we’re excited to be partnering with Mastercard to help our clients make their mobile customer experience as safe and as frictionless as possible.”

Darren Foulds, Managing Director of Mobile Payments at Barclays, said: “Consumers now want to pay quickly and securely in a variety of ways, whether that’s in person, online or on the go. By leveraging Barclays’ unique position as both an issuer and acquirer, our planned rollout of Pay by Bank app will simultaneously give customers and businesses more choice in how to make and take payments.”

Mark Barnett, Divisional President of Mastercard in the UK, Ireland, Nordics & Baltics said: “Partnering with Barclays, given its strengths across the entire payments landscape, is another key step in the progression of Pay by Bank app. The creation of the infrastructure for this new payment method is gathering pace and we look forward to maintaining this momentum as we bring it to market.”

Notes to editors

Oliver Stevenson, Barclaycard, +44 (0)207 116 3837, oliver.stevenson@barclaycard.co.uk

James Thorpe, Mastercard, +44 (0) 207 557 5430, James.Thorpe@mastercard.com

About Barclaycard

Barclaycard is a leading global payment business that helps consumers, retailers and businesses to make and take payments flexibly, and to access short-term credit and point-of-sale finance. In 2017 we processed over £250bn in transactions globally. Barclaycard is a pioneer of new forms of payment and is at the forefront of developing viable contactless and mobile payment schemes for today and cutting-edge forms of payment for the future. We also partner with a wide range of organisations across the globe to offer their customers or members payment options and credit.

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About Pay by Bank app by Mastercard

Pay by Bank app is a new online checkout option that lets you pay using the bank app on your phone. It's designed to make online checkout easier, whilst using all the security of your bank. Pay by Bank app isn’t a separate app to download or service to sign-up for – it works through the bank app you use already.

About Mastercard

Mastercard (NYSE: MA), www.mastercard.com, is a technology company in the global payments industry.  We operate the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories.  Mastercard products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone.  Follow us on Twitter @MastercardNews, join the discussion on the Beyond the Transaction Blog and subscribe for the latest news on the Engagement Bureau.