US banking and funds tech heavyweight Fiserv has signed a definitive settlement to amass Ondot Programs, a ten year-old funds agency. The financials of the deal haven’t been disclosed.
Based mostly in California, Ondot claims 4,500+ banks and credit score unions within the US as shoppers, processes a couple of billion transactions per 30 days and supplies digital capabilities for over 30 million playing cards. Its flagship providing is a digital card companies platform to drive cardholder engagement.
In 2018, Ondot acquired an undisclosed “strategic” investment from Citi Ventures. Previous to this, it reportedly had raised $51 million in fairness financing.
Frank Bisignano, Fiserv’s president and CEO, says the addition of Ondot will allow the corporate to supply a “unified digital expertise”, which in flip, will assist its shoppers “ship revolutionary methods for his or her prospects to actively handle their monetary lives – on the level of thought”.
The corporate says in a press release: “With the combination of Ondot, Fiserv will assist shoppers speed up digital buyer acquisition, drive digital commerce, improve card activation and utilization, scale back service prices, and have interaction contextually in moments that matter – all by way of ready-made options for shoppers.
For instance, cardholders can profit from on the spot card issuance and utilization, in addition to unprecedented visibility into purchases via enriched transaction data and actionable insights to spend smarter. Chargebacks and customer support calls are regularly the results of a cardholder not recognising a transaction. Information enrichment from Ondot organises and identifies transaction and service provider information, permitting prospects to extra simply recognise their purchases and perceive their spending patterns, leading to greater engagement and fewer service calls and disputes.
With these holistic consumer-facing experiences and client-facing instruments, card issuers can ship fashionable digital card companies shortly on prime of their present processing infrastructure.”
The transaction is topic to customary approvals and shutting circumstances and is anticipated to shut in Q1 2021.