JP Morgan Fuels Support for Mobile Payments

To date, JP Morgan’s mobile customers have increased dramatically by 21 percent in Q3 of 2015.

Now at 22.2 million, the group expects this figure to increase consistently based on the development of new trends in the space. Its competitor, North Carolina-based Bank of America reported slightly lower figures at 18.4 million mobile users.

The financial institution has been on a tear this year to solidify its interest in the thriving sector.

Recently, it announced support for Samsung Pay. Furthermore, the group is currently backing Apple Pay and Android Pay. It is also planning on developing its own platform with the help of Chase, which will be called Chase Pay.

“Chase Pay solves a number of pain points for consumers and merchants. It will improve the customer experience and drive down the cost of payments,” said Gordon Smith, CEO of Consumer & Community Banking at JP Morgan Chase & Company.

By providing more options for early adopters of payments technology, the company hopes to engage consumers on a deeper level during the checkout process.

Driving healthy adoption rates is the added convenience that wireless payment methods bring for busy consumers during the holiday season. By storing debit and credit card information in a digital wallet, users can take part in seamless purchases at the register via personal handheld devices.

Individuals also benefit from direct access to transaction data and loyalty programs through mobile applications.

“Among the drivers for the shift to a so-called digital wallet is the popularity of mobile technology among millennials, the largest generation in U.S. history,” wrote Valerie Young from The Street.

“Banks are eager to capitalize on the trend because it allows them to provide services such as deposits and transfers less expensively than they can with tellers in bricks-and-mortar branches.”