Flywire has broadened the use of open banking payments in the US and Canada through its arrangement with Trustly.
The tie-up will give customers a way to approve sizeable domestic and international transfers straight from their bank accounts in local currency.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
The latest step extends a relationship that had already been in place in Europe and now adds wider coverage in North America.
Under Trustly Pay by Bank, users complete payment authorisation during checkout with their usual online banking login details, rather than entering account information again for the transfer.
Flywire and Trustly have worked together since 2017, first introducing the service in Europe and then adding support in other markets over time.
Flywire vice president of global payments Kate Moran said:
“Our clients tell us their payers want modern, digital payment experiences that eliminate friction. This expansion delivers exactly that – a fully online payment option that improves accuracy, reduces payment failures, and gives payers real-time visibility into their transactions.
“We’re applying the open banking infrastructure we’ve successfully scaled across Europe to North America, enabling our clients to confidently offer their payers a proven experience.”
According to the companies, the arrangement is meant to make payments simpler and reduce errors by removing the need to type in routing and account numbers manually.
Users instead verify themselves through their bank’s online portal, which they said can lower the number of failed payments.
Trustly also carries out an immediate balance check when a payment is authorised, allowing possible insufficient funds to be flagged before processing and reducing the risk of Non-Sufficient Funds (NSF) returns.
For international transactions, Flywire said it works to reduce the chance of reversals after settlement by managing funds during the relevant return period.
A Trustly executive commented: ”We are thrilled to scale our partnership with Flywire to deliver the efficiency of open banking to high-stakes payment sectors. Our latest technology stack ensures that authorising a payment is as simple as logging into your mobile banking application, paired with the backend risk-mitigation features that global enterprises require. Together with Flywire, we are helping define the next generation of Pay by Bank experiences across the US and Canada.”
