By NUR HAZIQAH A MALEK
Mastercard Inc and PayPal Holdings Inc announced that their payment collaboration has been extended to cover the Asia Pacific, allowing the latter’s customers in the region to make the credit card issuer as one of the payment options.
The deal will expand PayPal’s presence at the point of sale (PoS) and enable Masterpass for Braintree merchants in the region.
MasterCard said the extension of the alliance will improve user experience within the region and benefit cardholders, financial institutions and PayPal customers.
The deal will expand PayPal’s presence at the point of sale (PoS) and enable Masterpass for Braintree merchants in the region (Pic: Bloomberg)
The partnership will also allow PayPal users to transfer funds from their PayPal accounts to their MasterCard debit cards.
Additionally, both companies will collaborate to create opportunities to leverage on the MasterCard’s new payment flow technologies, MasterCard said in a statement.
“We’re excited to extend our longstanding partnership with MasterCard into Asia Pacific,” PayPal CEO and PayPal Asia-Pacific senior VP Rohan Mahadevan said.
He said the partnership will drive innovation, accelerate the move to digital payments and improve payment experiences for customers in the region.
MasterCard Asia-Pacific executive VP of digital and emerging partnerships, Rama Sridhar, said MasterCard users want to see a brand that they are familiar with regardless if they choose to shop virtually or physically.
Rama said the broadening of MasterCard and PayPal alliance cements their intention to make funding experience faster and safer for MasterCard cardholders.
“Furthermore, the agreement provides a number of joint growth opportunities that will advance MasterCard and PayPal’s shared vision to offer consumers greater choice and flexibility to pay and move their money,” he added.
The partnership will further publicise PayPal as a digital payment platform and the use of MasterCard’s services.
Through collaborations with MasterCard bank partners, consumers will be able to seamlessly add Mastercard cards into PayPal from banking apps.
MasterCard will be presented as a payment option within the PayPal Wallet. Customers will also see a familiar digital representation of their MasterCard from their chosen issuer. Moreover, consumers will be able to choose MasterCard as their default payment method.
The deal will also give PayPal the opportunity to expand its presence at the PoS by utilising tokenisation services from MasterCard. This will allow consumers to use their tokenised MasterCard in their PayPal Wallet to make in-store purchases at more than 6.5 million contactless-enabled merchant locations across the globe.
MasterCard said customers will have the ability to move funds to their bank accounts via their MasterCard debit cards in real time across multiple markets.