Google Joins Hand with Bank Accounts through Payments App

Google said it is partnering with commercial banks and credit unions for starting next year’s user-managed mobile-based accounts from the Google Pay platform. It’s the latest innovation by the techie giant related to consumer finance.

Caesar Sengupta, Vice President, Google Payments, says, "People do almost everything on their phones today, but for many, the way they save, pay and engage with their bank has remained unchanged. That's why we're working with trusted financial institutions to create Plex, a new mobile-first bank account integrated into Google Pay."

The United State consumers will get Plex Accounts without any monthly rental fee, overdraft charges or minimum balance requirements, states Google. It said that 11 banks and credit unions were participating.

Simultaneously, Google said that it was updating the Google Pay application for helping users organize payments to people and businesses in a better manner.

Sengupta further adds, "Instead of showing a stack of cards or a long list of transactions, the new Google Pay app focuses on the friends and businesses you transact with most frequently."

This is an initiative by Google to move deeper into the persona finance with person-to-person payments and co-branded credit cards. Apple also recently launched its new wing branded card with Goldman Sachs, which integrates into its Apple Pay application.

With its own branded credit card, Amazon, has also discussed offering its own checking accounts, but yet to follow the plan.