Demographic shifts, new technologies and evolving regulations are creating change and disruption for companies worldwide. Banks are helping clients embrace innovation and thrive in this dynamic environment.
REGULATIONS GENERATE NEW OPPORTUNITIES
New regulations can often spur adoption that creates benefits for clients. The latest addition to PSD2, biometric requirements for e-commerce purchases emphasizes the need to adopt the Global Card Access app. PSD2 is a directive in the European Union that requires banks to provide payment account information to registered/authorized third parties - including fintechs who offer payment services to consenting bank clients.
APIs - empowering new opportunities
Banks have adhered to PSD2 obligations by using Application Programming Interfaces—or APIs—to provide access to client data, leading to an era of “open banking” where clients are empowered to seek new services and efficiencies. APIs work “behind the scenes” to aggregate data from multiple sources in a single place, making it easier to analyze and helping clients pivot toward new opportunities.
THREE TYPES OF NEW SERVICES
PSD2 introduces three new types of authorized/registered payment institutions.
Account Information Service Provider (AISP)
AISPs provide consolidated information on one or more payment accounts held by the payment service user with either another payment service provider or with more than one payment service provider.
Card Based Payment Instrument Issuer (CBPII) (AISP)
A Card Based Payment Instrument Issuer is a payment services provider that issues card-based payment instruments that can be used to initiate a payment transaction from a payment account held with another payment service provider.
Payment Initiation Service Provider (PISP)
PISP is a service to initiate a payment order at the request of the payment service user with respect to a payment account held at another payment service provider.
THE NEXT WAVE OF E-COMMERCE
APIs also enables new types of mobile commerce, led by the rise of a “super-app” that can combine messaging, maps, mobility, shopping, dining and other services. BofA is building APIs so that we can connect clients—either through CashPro® or third-party apps—to commerce that is driven by digital wallets, sharing economies and new people globally.
Changes in consumer behavior are rapidly spreading into the corporate environment. Smartphone ubiquity has given rise to a global, mobile workforce that is used to using their personal mobile devices to conduct business. Card trends—such as mobile wallet—can help you make things simpler for these employees while boosting program administrators’ visibility and keeping your company’s data safe.
PUTTING THE BENEFITS IN YOUR HANDS
BofA is investing heavily in innovations to help you benefit from these changes
Available through Apple Pay®, Google PayTM, Samsung Pay® globally
Available now in EMEA, APAC and Canada. Coming to U.S. in 2021
Cardholder mobile website
Real-time functionality, including PIN management, mobile alerts, account suspension/reactivation
Prepaid card app
Instant account info, including balance, when money was loaded, mobile alerts, account suspension/reactivation
Virtual Payables and Travel
Tokenized, single-use account numbers for fast, secure vendor payments and centralized travel payments