Paymentech to Offer PayPal in 2005; Deal Gives Merchants Access to More than 56 Million PayPal Accounts
DALLAS & SAN JOSE, Calif.--Dec. 1, 2004--Paymentech today announced that it will offer PayPal's online payment service to its merchant customers in early 2005. With this agreement, Paymentech now gives Internet merchants a full range of payment options, including popular forms of payments such as electronic checking and gift cards in addition to PayPal.
Paymentech, which processes more than half of all Internet transactions, is the first merchant acquirer to resell and fully integrate PayPal's online payment service onto its proprietary processing platform. The new arrangement will give online merchants access to a consolidated settlement and financial reporting system but will not require a large capital outlay or new processing infrastructure.
"PayPal has more than 56 million accounts around the world, which translates to new buyers and incremental sales for Internet merchants," said Scott Cruickshank, Paymentech's chief marketing officer. "Our goal is to offer merchants the broadest range of payment methods, and through this agreement, that's exactly what we are doing."
"We're delighted to work with Paymentech, because they are the leading online processor in the e-commerce industry," said Todd Pearson, general manager of merchant services for PayPal. "By offering PayPal, Paymentech provides merchants 'one-stop-shop' access to any payment method they choose to offer. Merchants who add PayPal through Paymentech will find that it's easy to integrate, cost-effective and opens the door to millions of online shoppers around the world."
Paymentech will offer PayPal to existing customers as well as potential new merchant customers beginning in early 2005.
Founded in 1998, PayPal, an eBay (Nasdaq:EBAY) Company, enables any individual or business with an email address to send and receive payments online securely, easily and quickly. PayPal's service builds on the existing financial infrastructure of bank accounts and credit cards and uses one of the world's most advanced proprietary fraud prevention systems to create a safe, global, real-time payment solution. PayPal has more than 56 million account members and is available to users in 45 countries around the world. More information about the company can be found at https://www.paypal.com/.
Paymentech, L.P. processes more payment transactions than any other company in North America -- and more than half of all Internet transactions -- for retailers accepting U.S. and international payments via traditional point of sale, Internet, catalog and recurring payments. The privately held company, founded in 1985, is an end-to-end processor for merchants of all sizes and industries. Paymentech's 1,500 employees work in multiple locations, including the Dallas headquarters; New York; Salem, NH; Tampa, FL; and Tempe, AZ. In 2003, Paymentech and its Canadian affiliate, based in Toronto, processed 7 billion transactions and $162 billion in sales volume in 14 currencies.