U.S. Bank announced Payment Switch, a feature in its app that lets customers move subscriptions and recurring bills, such as streaming, mobile and utilities, to a U.S. Bank debit or credit card. The change is made without visiting each merchant's website. The service runs on technology from Atomic. It is part of Easy Switch, which helps customers move their whole banking relationship.

What it means: One of the main reasons customers do not change banks is hassle. Recurring charges are tied to the old card across dozens of services, and updating each one takes time and patience. Tools like this lower switching costs and make competition between banks more real. U.S. Bank presents it not only as a convenience but as a way to become the customer's main card, since recurring charges create steady transaction volume and fees. The subscriptions dashboard also helps consumers spot services they pay for without using. In Europe, the payment accounts directive already provides an account-switching process, but it mostly covers standing orders and direct debits rather than card charges at online merchants. In Greece, where many customers hold accounts at more than one bank, a similar service could be a differentiator. The technology depends on connections with merchants, which requires partnerships and strong protection of login data. Banks that make switching painless are likely to win more primary relationships.

Read the original on U.S. Bank

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