Smartphone-based banking solutions are becoming increasingly prevalent, with Apple having launched its Apple Card last year, followed by Samsung's partnership with SoFi to launch Samsung Money just last month. Now, Google is dipping its toes into mobile-first banking experiences with Google Pay, thanks to a partnership with eight banks in the United States.
A couple of banks, including BMO Harris and BBVA, have announced the partnership today, as spotted by The Verge. The solution will see the banking institutions provide the banking infrastructure, while Google develops the user experience, which will live exclusively inside Google Pay.
In a statement to The Verge, Google confirmed the initiative to launch Google Pay-based banking accounts, and in addition to the aforementioned banks, Citi, Stanford Federal Credit Union, Bank Mobile, Coastal Community Bank, First Independence Bank, and SEFCU will all be partnering with Google to enable this. Google has been considering a solution like this for a while, and it seems like plans are starting to take shape.
The mobile-based accounts are planned to launch sometime in 2021, though a more concrete date wasn't given. Also unknown is whether there will be an option to get a physical card for these accounts, similar to what Apple and Samsung allow. However, back in April, a report suggested that Google was working on it, so it's certainly possible we'll see that come true.