Google Pay has announced partnership with six new financial institutions to launch a full digital banking service for its users in the US beginning from sometime in 2021.
According to the announcement, the new partners include Bank Mobile, BBVA USA, BMO Harris, Coastal Community Bank, First Independence Bank, and SEFCU. They would be joining Google Pay existing partners Citi and SFCU, bringing them to a total of now eight banks lined up for the digital banking project.
The bank accounts will exist entirely within Google Pay, while users would be able to access checking accounts handled digitally on the front end by Google while partner banks handle the infrastructure, FDIC insurance, and other backend technology.
Google spokesperson, in a statement, said Google Pay has previously explored partnering with banks and credit unions in the US to offer digital bank accounts.
We are excited that six new banks have signed up to offer digital checking and savings. Our customers would benefit from useful insights and budgeting tools while keeping their money in an FDIC or NCUA-insured account
Google Pay to add more financial institutions
Google Pay additionally disclosed that it has plans to add more financial institutions into the digital banking project, invariably meaning the current total of eight financial institutions could further increase before the service launches in 2021.
BBVA USA CEO Rodriguez Soler, in his statement, noted that BBVA has previously focused for decades on how it could use digital to advance the financial industry, and in so doing, create more and better opportunities for customers to manage their financial health.
Collaborations with companies like Google represent the future of banking. Consumers end up the true winners when finance and big tech work together for their benefit.
Google Pay increasing growth
Google Pay has been witnessing major growth and support. It is ever-expanding among financial institutions, and that’s both the case in the US and the rest of the world.
It also worth noting that Google Pay is working on a legally binding framework to make adtech giants media companies for monetizing their news content when it’s posted to their social media platforms or otherwise aggregated and monetized.