Gr4vy, a U.S.-based cloud payment orchestration platform, and Plaid, an international Open Banking data network, have entered into a strategic alliance. This partnership allows Gr4vy merchants to incorporate Pay by Bank, or account-to-account (A2A) payments, as part of their checkout process via a unified integration.
According to the official press statement, this integration grants Gr4vy merchants access to Plaid’s bank connectivity capabilities. Customers can now authenticate and make direct payments from their bank accounts at the point of sale through this single link. Plaid’s network currently interfaces with over 12,000 financial institutions in the United States, Canada, the United Kingdom, and Europe, supporting millions of transactions daily.
Risk assessment and cost savings
The collaboration also permits merchants to apply real-time ACH risk analytics through Plaid Signal. This tool evaluates the chances of a successful transaction based on account details prior to initiating the payment process. Such insights enable Gr4vy to authorize more low-risk transactions, minimize failed attempts due to insufficient funds or fraud, and streamline routing and decision-making within the same orchestration layer.
For merchants, one key benefit is cost reduction. ACH payments through A2A channels typically incur lower fees compared to credit card transactions. With this integration, Gr4vy provides a pathway to leverage these savings without necessitating additional technical integrations. The global A2A market is forecasted to reach around $4 trillion by 2030, propelled by the proliferation of Open Banking and real-time payment infrastructure in major markets.
The integrated solution caters to enterprise-level merchants and platforms aiming to introduce bank-based payment options alongside credit cards within a cohesive orchestration environment.
John Lunn, founder and CEO of Gr4vy, expressed that this integration facilitates global adoption of Pay by Bank through a single connection, helping businesses lower costs while providing an alternative trusted option to card payments. Adam Yoxtheimer, head of partnerships at Plaid, noted that the partnership offers companies a seamless means to offer bank-based payments within a modern payment framework.
