Two years to the day PayPal went public after the breakup of eBay Inc., PayPal’s CEO Dan Schulman announced some new partnerships with Citi and JPMorgan Chase. Schulman said the partnership with Chase would drive more choice, flexibility and value for their joint customers, and would enable PayPal to further expand its reach in-store.
Dan Schulman announcement on the PayPal blog follows:
Over the past several years, PayPal has been focused on forging partnerships with leaders across the financial and technology industries to expand our services and reach, explore new contexts, increase conversion for our merchants, create better mobile experiences and give our consumers the flexibility, security and speed that digital payments can offer.
Today, in addition to our announcement with Citi, we’re excited to share that we’re expanding our relationship with JPMorgan Chase. Similar to some of our other issuer and bank partnerships, our partnership with Chase will drive more choice, flexibility and value for our joint customers, enable PayPal to further expand its reach in-store, enable Chase-issued cards to be easily added to newly created or existing PayPal accounts and will allow joint customers to use their Chase Ultimate Rewards Points anywhere PayPal is accepted online and in-app. In addition, Chase Pay will become a way to fill the PayPal Wallet with Chase-issued cards and Braintree will add Chase Pay as a method of payment for its merchants.
This deal allows us to strike one partnership agreement and reach millions of existing and potential new PayPal customers across the U.S. We’re announcing this agreement today and expect the experience to go live for our joint customers in 2018.
Details of the deal are as follows:
Chase cardholders will be able use the funding sources in their PayPal Wallet in-store in our forthcoming NFC mobile experience, through the use of tokens.
Together, PayPal and Chase will make it seamless for Chase cardholders to create or use an existing PayPal account and add their Chase cards directly from Chase properties and to their PayPal account.
Customers that use Chase Pay will be able use their Chase Pay account to automatically add their Chase cards into an existing PayPal account.
Our joint customers will see a familiar digital representation of their Chase-issued card in the PayPal Wallet when they pay.
PayPal customers will have the ability to make purchases with their Chase Ultimate Rewards points at all the places that accept PayPal online and in app.
Chase Pay will be added as a payment option for merchants that process payments via Braintree.
PayPal will enable Chase as an acquirer for PayPal volume, including the ability to process Chase card transactions via ChaseNet.
This expanded relationship comes on the heels of our recent partnerships with bank issuers like Citi, networks like Visa – in the US, APAC and now Europe – and Mastercard, financial institutions like Wells Fargo and Discover, financial services technology providers like FIS and First Data, and technology leaders like Apple, Facebook, Google and Samsung. These partnerships are just a few examples of how PayPal is continuing to work with leaders in the industry to enable more choice, flexibility and transparency for our customers. We will continue to forge new collaborations with players across the industry that share our values of making digital payments and the management and movement of money more seamless and secure.
SOURCE: PayPal Blog Post