TrueLayer expands its partnership with Stripe

Open Banking payments network TrueLayer has announced an extension of its partnership with global financial infrastructure platform Stripe.

The collaboration will now support Stripe’s Pay by Bank feature across its UK payment products. Introduced in May 2024, Pay by Bank is a payment method that allows merchants to receive payments directly from customers' bank accounts, aiming to simplify transactions and lower fees. TrueLayer will be the Open Banking payment partner for Stripe in the UK, integrating Pay by Bank into Stripe Elements as a new payment option for users in the region.

TrueLayer officials commented on the partnership and expressed their joy to collaborate with Stripe in the UK. They also highlighted their commitment to providing customers with an alternative payment method using their bank accounts instead of credit cards, thus aiming to contribute to a notable advancement in digital commerce.

Stripe’s annual letter published in March emphasised the need to eliminate obstacles in online purchases and checkout processes. TrueLayer’s technology aligns with this goal by facilitating flexible, real-time payments that comply with Strong Customer Authentication (SCA) requirements.

Last year, TrueLayer became the first UK Open Banking provider to deliver commercial Variable Recurring Payments (VRP) through an API, reaching 1 million monthly VRP transactions. Stripe’s involvement in TrueLayer’s 2021 funding round highlights the importance of this partnership.

Stripe officials also talked about their collaboration with TrueLayer and pointed out its potential to help UK businesses to save substantial amounts in payment fees each month, particularly those dealing with high-value transactions.

TrueLayer operates as a major Open Banking payments network in Europe, focusing on enhancing online payments through real-time bank transactions and comprehensive financial and identity data. In June 2024, we reported that TrueLayer partnered with digital lender Jaja Finance to enable credit card repayments.

As part of the partnership, Jaja Finance leveraged the Open Banking payments network’s solution to extend instant pay-ins. This allowed customers to make one-off credit card repayments directly from their bank account. The new functionality is available on Jaja Finance’s Vanta Credit Card and its partner brands, including Asda Money Credit Card and Asda Money Select Credit Card, all of which are linked to Asda’s rewards programme.

As emphasised in the official press release, these types of credit repayments are more customer-centric and intuitive, as they feature auto-populating fields that make it unnecessary for the customer to input data manually.