The financial services technology provider Fiserv announced this week that it was starting a money transfer service for banks and credit unions that already use its online bill pay system. It said it expected the customers would be able to use the new service as early as the first half of next year. The announcement comes as PayPal is also seeking new ways to use its system.
Here’s how Fiserv’s service is expected to work: Customers of participating banks will be able to make next-day transfers of funds to the accounts of anyone who has enrolled in the service at his or her own bank or at the service’s public Web site, which doesn’t exist yet. To make the transfer, customers would just need the e-mail address or mobile phone number that the recipient used to sign up for the service and the transfers could be made online or by cellphone.
“The industry right now is ripe for this kind of service,” said Erich Litch, general manager of customer services at Fiserv. “We are seeing a demand by consumers for a faster, easier, more convenient way to send money.”
Comment: INGDirect has money transfer to accounts outside of their bank. I typically use Paypal or write an Electric Orange check. All very convenient.