Adyen partnered with Tink and Recharge to introduce Pay by Bank – a payment method that allows customers to pay directly from their bank accounts, simplifying the payment process and reducing delays.
Tink, Visa’s subsidiary focused on open banking, and Adyen have teamed up with Recharge, a global prepaid payments platform, to offer Pay by Bank as a checkout option for their customers in Germany.
Pay by Bank checkout offers many advantages, including a seamless and secure payment experience, improved cash flow and reduced processing delays. This payment method is cost-effective for merchants and convenient for end clients.
It is powered by open banking technology, which enables instant, direct payments from customers’ bank accounts without relying on intermediaries such as card networks or traditional payment processors. Bypassing these intermediaries, the process becomes faster and more cost-efficient, eliminating extra fees and reducing transaction times.
Recharge will first introduce Pay by Bank on Guthaben.de, a key top-up website for the German market. Its customers can now use this secure, convenient payment option when purchasing digital vouchers. Recharge CEO Günther Vogelpoel emphasised that Pay by Bank enhances the user experience by offering fast, secure payment choices, especially for those valuing efficiency. In addition, the new feature, powered by Tink and Adyen, will give the firm’s German customers more control over their payment methods.
Thomas Gmelch from Tink noted a growing demand for Pay by Bank among merchants, with over 10,000 now using the service through partnerships with PSPs like Adyen. Meanwhile, Hella Fuhrmann, the representative of Adyen, highlighted that their collaboration with Tink enables easy, direct bank payments designed to simplify transactions and help customers achieve their goals more quickly.
In late 2024, 45% of the surveyed U.S. online merchants requested one-click checkout solutions from their payment service providers (PSPs) to bypass manual card details entry and enhance conversion rates. It illustrates the growing need for a speedier checkout process and faster transaction clearance on both sides of the e-commerce deal. Pay by Bank technology is one of the possible enablers of the one-click checkout solutions highly valued by retailers.
