Q2 launches CardSwap with Chime Banking
Digital banking technology company Q2 Holdings Inc. took the Finovate stage on to demo its CardSwap technology, which enables cardholders to automatically move their bill payments to a new funding source when they switch banks.
CardSwap enables account holders to automatically apply new debit or credit card information across their subscription and digital point-of-sale services—such as Amazon, Netflix and Hulu—”in a single, elegant workflow.”
Q2 demonstrated the technology with its first integration partner Chime, which serves hundreds of thousands of members through its mobile banking service.
“We know lots of people, particularly millennials, would like to switch their bank, but many haven’t changed because it’s a pain to move your bill payments to a new account,” says Chris Britt, CEO and founder of Chime. “Our new bill switch feature is a great example of how we’re using modern technology to make banking faster and hassle-free.”
In addition to simplifying the customer onboarding process, CardSwap also can be used to improve the compromised card replacement experience or as a complement to an FI’s card reward or incentive program, according to Q2 Holdings.
“We believe there’s still untapped potential for technology to create new business opportunities for financial institutions,” said Paul Walker, general manager of Q2 Open. “Consumers are adopting new digital services and subscriptions at a rapid pace and traditional bill pay strategies weren’t designed to account for these new billers. CardSwap helps our clients get their cards top of wallet for these vendors, putting them in a position to tap into new interchange revenue.”
CardSwap is Q2’s first product built using its recently announced Q2 Open APIs. It can be accessed at the API level, enabling third parties to build their own front-end experience, or integrated with other products, including the Q2 Platform.