Look out Automated Clearing House (ACH), as Dwolla has inked a major deal with the largest financial institution to provide real-time transfers to and from its network in the USA. BBVA Compass will enable its customers to send and receive funds instantly through the Dwolla all-digital payments network.
The partnership marks the debut of FiSync’s pioneering use of authentication and tokenization processes, which remove the need for account holders to provide sensitive bank account information or credentials to Dwolla or any other party it transacts with. Developed jointly by BBVA Compass and Dwolla, these processes are a significant departure from other payments platforms like ApplePay, Stripe or PayPal, where customers must supply their payment information to providers or third parties.
Real-time transfers with BBVA Compass will be particularly useful for startups, enterprise companies and small businesses looking for a simple, secure and inexpensive way to collect funds, make disbursements or handle B2B payments. Clients of the bank will be able to send in real-time to other BBVA Compass account holders and the Dwolla network ” a tangible manifestation of efforts by BBVA Compass and Dwolla to pave the way for payments to reflect the instant economy.
BBVA Compass account holders can bypass conventional networks, reducing time it takes to clear payments to seconds instead of the typical two-to-five business days .
The standalone Dwolla network uses new technologies and Internet-connected devices to streamline, modernize and enhance access to the nation’s $34 trillion payments infrastructure, offering individuals, financial institutions, U.S. businesses of all sizes and governments a secure and sensible approach to moving funds. BBVA Compass will maintain Dwolla’s existing pricing for its customers’ real-time transfers ” 25 cents per transaction if it is more than $10, or free if less.
BBVA Compass and Dwolla will continue to roll out additional features and updates to their relationship in subsequent months.
For data, background and forecasts on Dwolla: Search CardWeb.com’s CardFlash® Library of more than 58,000 archived articles; Access CardWeb.com’s CardData® for current and historical Performance, Portfolios, Profiles, etc. Visit RAM Research® (ramresearch.com) for quarterly and annual forecasts covering more than 150 metrics. [complimentary or deeply discounted access to CardWeb.com subscribers].
Additional database resources include CardWeb.com’s CardExecs® – comings & goings of payments movers & shakers; CardWeb.com’s CardWatch® – ears & eyes on marketing globally (57K items); and CardWeb.com’s CardPixes® – form & function of card design (7K items).