Zum Rails, the company merging Open Banking and instant payments so businesses can use any payment rails they want from a single platform, announced it is utilising embedded finance capabilities from Fiserv, a global provider of payments and financial technology, to enable payments and financial services for US businesses.
With Fiserv as the primary transaction processor for Zum Rails’ payments gateway, businesses ranging from large enterprises to small and midsize businesses (SMBs) can facilitate accounts payable and receivable transactions, merchant onboarding, reporting, reconciliation, and fraud management without relying on a bank or other third-party provider. Early adopters of the solution include real estate platform Homebase, the property management software Passive, and more.
Payments and banking services are expanding beyond traditional institutions, with businesses across industries eager to embed financial options into their platforms. However, the complexity and high entry barriers have deterred many. Those who overcome these challenges gain access to an USD 84 billion market and a competitive edge over traditional methods, offering better user experiences and flexibility.
Through its relationship with Fiserv, Zum Rails will provide US businesses and merchants with everything they need to accept and distribute transactions—all from a single solution. Zum Rails' payments gateway demystifies and accelerates the integration of new capabilities such as Open Banking and instant payments directly into companies' platforms so they can power payments securely, in seconds or less. By bringing these capabilities together in one place, companies can enhance user experiences and gain better insights into transaction data.
Combining Zum Rails’ payments gateway with the Fiserv payment facilitator model additionally gives businesses the ability to move funds through every major US payment network, including Visa and Mastercard, the Automated Clearing House (ACH), FedNow, WEB Debit, and PayPal.
As Zum Rails continues to scale across the US, it will bring additional embedded finance capabilities to the businesses using its platform. This includes the addition of Zum Rails’ forthcoming Banking-as-a-Service offering, which will enable companies to issue their own debit cards for direct spending.
In addition to the US, Zum Rails will expand its offerings throughout North America. This includes leveraging Zum Rails' Canadian roots to bring its existing integration with Fiserv to Canada, as well as developing entirely new joint offerings specifically for the Canadian market.
Officials from Fiserv said that as companies look for new ways to own and strengthen their relationships with customers, there’s growing energy around embedding financial services directly within a software platform. By making capabilities from their merchant acceptance, banking, and card issuing businesses available to clients and partners through a curated set of APIs, they are helping these clients expand their service models, build deeper relationships with merchants, and significantly expanding the revenue potential associated with each relationship.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now