Wells Fargo & Company announced that Wells Fargo customers will soon be able to use PayPal to conveniently and securely make purchases with their mobile devices at participating merchants whose payment terminals are set up to accept near-field communication (NFC) payments. Currently, Wells Fargo customers can pay for purchases online and on mobile at millions of merchants where PayPal is accepted. This agreement will leverage the companies’ collective mobile leadership, and will allow customers to use a Wells Fargo debit or credit card to use PayPal to make NFC payments using an Android phone.
“We’re looking to enable payments for our customers’ mobile-driven lives, and this upcoming capability allows us to further engage the millions of Wells Fargo customers who use their debit and credit cards on PayPal to seamlessly make mobile and online, and now in-store, purchases,” said Jim Smith, Head of Virtual Channels. “New mobile payment experiences like the one we announced today create unique value propositions for Wells Fargo customers who use PayPal.”
Mobile banking is the fastest growing channel in Wells Fargo’s history, with more than 20 million active customers. Android customers are the most active, logging in an average of 16 sessions per month.
“Wells Fargo is a financial services leader with a laser focus on making customers’ commerce experiences secure and convenient,” said Gary Marino, Chief Commercial Officer, PayPal. “We’re thrilled to name them as a launch partner, and continue to collaborate on the delivery of truly innovative mobile and digital payment experiences that add value for our joint customers.”
Survey data from the Federal Reserve highlights the fact that mobile devices are changing the way consumers make payments; 22% of all mobile phone owners reported having made a mobile payment in the 12 months prior to the survey, up from 17% in 2013 and 15% in 2012. These statistics are reflected in the growth of Wells Fargo’s fastest growing channel—mobile banking—which is growing at twice the rate of its online channel.
“Our relationship with PayPal is broad and deep,” said Danny Peltz, Head of Treasury, Merchant and Payment Solutions. “From processing their first international Automated Clearing House (ACH) transaction, to providing them with Treasury solutions, our partnership continues to deliver innovative payment solutions for our customers.”
When a customer makes a payment with PayPal using their Wells Fargo cards, all transactions are monitored with Wells Fargo risk and fraud detection systems. Wells Fargo card purchases also are protected by Zero Liability, which means customers are not responsible for promptly reporting unauthorized transactions.