The biometric VeinID platform, Fingopay has announced it is trialing a strategic open banking retail pilot with payments company Reflow.
The verification technology has enabled the fintech to successfully complete the first bank-to-bank, face to face payment using Finger VeinID.
Marrying the technologies allows retailers and merchants to handle bank-to-bank transactions (in addition to traditional card rails), reducing costs and receiving instant settlements in up to three hours, as opposed to the typical three to five-day lag time with card payments.
Nick Dryden, CEO at Sthaler the creators of Fingopay, commented: “Through this Open Banking pilot, we can demonstrate to the FCA, the financial services industry and retail partners how versatile, reliable and secure Fingopay is for payment acceptance.
“Our biometric finger vein payment technology offers an innovative and unique way for Reflow to combine bank-to-bank payment with physical, face to face payments at point of sale, and this trial demonstrates the future potential of this type of identity authenticated customer experience.”
The month-long pilot comes as a result of an ongoing partnership with Reflow as Fingopay gears up for its global launch in Manchester later this quarter. From Spring, merchants across the city will be the first in the world to adopt the Fingopay network and let customers pay with just a scan of their finger.
Fingopay uses Hitachi VeinID technology to allow customers to prove their identity enabling fast, safe, secure transactions, with no need for cash, cards or passwords.
CTO of Reflow, Diptesh Mishra added: “Reflow’s Variable Recurring Payment APIs built into our core payments platform enable a number of innovative use cases with ease, security and speed. It was great working with Open Banking to understand their vision and work closely with Fingopay.”
Expert Analysis: Verification and security technologies will undoubtedly be a space for innovation as the payment sector looks to stay ahead of the latest technologies to ensure the utmost security is maintained.