Buckaroo launches Pay by Bank as an alternative to iDEAL

Utrecht, 27 June 2023 - Buckaroo is the first payment service provider in the Netherlands to launch an e-commerce payment method based on payment initiation, namely Pay by Bank. The introduction of Pay by Bank is a response to shifts in the payments market which created a growing need for a low-cost alternative to iDEAL. With Pay by Bank, Buckaroo offers an alternative payment method that speeds up the checkout process for webshops up to 25% without paying extra.

Pay by Bank speeds up the checkout process which results in a simpler, more efficient and faster online purchase process and increases conversion for webshops. With Pay by Bank, a consumer can pay in their own banking environment without having to repeatedly enter their payment details. The logo of their most frequently used bank is shown at the top of the webshop’s checkout and when the consumer makes subsequent payments, their preferred bank logo is shown right away.  

The introduction of the Payment Services Directive 2 (PSD2) in 2019 changed the payments market as we know it. Thanks to this piece of European legislation and together with Open Banking, new and innovative ways to make online payments such as Pay by Bank are made possible.

For the launch of Pay by Bank, Buckaroo worked closely together with IbanXS, an Open Banking platform connected to more than 2.000 European banks. To offer Pay by Bank, a license from De Nederlandsche Bank (DNB) is required. In 2020, Buckaroo - as one of the few payment service providers - acquired license 7 and license 8. These licenses allow Buckaroo to initiate payments as a Payment Initiation Service Provider (PISP) and to access consumers' payment data as an Account Information Service Provider (AISP).

Would you like to offer Pay by Bank in your checkout? The online payment method is easy to implement via Buckaroo. For more information please visit: https://www.buckaroo.eu/solutions/pay-by-bank.