TIAA Bank’s flagship Midwest bank, Tiaaf Bank, will roll out its new automated payment option this week, and it is using the technology to pay customers for products they have ordered on its website.
The new system, dubbed ‘payPal2Go’, will be available in the Tiaah Bank branch on Wednesday and Thursday.
The bank is launching the service in response to consumer concerns about how automated payment systems are impacting online commerce, the bank said.
PayPal2GO will be built on a blockchain-based, “trustless” platform.
Customers will be able to select products from their account and pay using a mobile phone number, or a combination of both.
The payment will be verified and validated before being sent to the bank, and the bank will send the money back to the customer’s bank account, the firm said.
The move follows an initial public offering of $1.1 billion, which has raised more than $4.7 billion.
Tiaa has been exploring how it can improve the technology behind automated payments, which can sometimes be complex and time-consuming.
The first automated payment solution, PayPal2Go, was released in 2016.
However, TIAAA Bank has been trying to build an automated payment platform for a few years now.
This has taken many different approaches, including integrating a payment processing system and the ability to accept credit card payments, said the bank’s executive vice president of product management, Ben Sirois.
However, the system has not yet been designed to be as user-friendly as PayPal2go, and there are some major technical issues that need to be addressed, he said.TIAA is also working with a number of banks to improve the mobile app, with the bank also looking at adding the ability for customers to select the product they want to pay for and payment processing to take place from the home phone.
“Tiaas customer service team will work with our payment partner to identify potential issues with the system and develop an update, if needed, to the app to improve its usability,” the bank added.
“Our customers can continue to use their existing bank payment options using their existing banking accounts.”
Tiaah will also be using the new automated payments system to allow customers to get discounts on online purchases, the Bank said.
Customers can also choose from three payment options, with a range of payment options available, ranging from 1 to 20 per cent off per order.
The Tiaaa Bank branch will be open Wednesday through Friday, with more details to be announced in the coming days.