Half of US Consumers Use Plaid’s Payments Tech

Plaids Revenue is reported to increase more than 25% in 2024 as more consumers encounter its technology.

In fact, at least half of all Americans have used the company’s services in some way, Bloomberg News reported Tuesday (Jan. 14), citing a source familiar with the matter.

The report said the company’s growth occurred despite a harsh funding and borrowing environment for FinTechs following a spike in interest following the COVID pandemic. Using Plaid’s identity verification product jumped more than 400% last year, the report said, while the use of its payment product more than tripled.

“There’s only this real renewed sense of optimism going into 2025,” Plaid CEO Zach Perrett Bloomberg said. “It’s a lot more fun to operate in the spring of FinTech than it is to operate in the winter of FinTech.”

The report says banks – after years of reluctantly working with FinTech rivals – are now seeing the benefit of partnering with the likes of Plaid as their customers search for financial products. online.

In fact, Plaid last year partnered with PNC to make the bank’s customers safer share their data with third-party financial apps and services. The data access agreement between the companies allows PNC customers to safely and securely provide their financial data to applications and services powered by Plaid.

Plaid, which recently opened a new office in Raleigh, North Carolina, said the number of banks that became customers increased by 50% last year, Bloomberg reports.

The news comes as the world of bank-FinTech partnerships faces some turmoil, as PYMNTS wrote last month, with the potential for a new regulatory regime in Washington.

In an interview with PYMNTS’ Karen Webster on the subject, Ingo Pay CEO Drew Edwards says that the main drivers prioritized by investors and startups in this space are “the customer experience and customer acquisition.”

The key strategy focuses on removing barriers to growth while making it fast and easy to set up accounts, with less focus on principles of safe banking.

Companies that focus only on growth and customer acquisition are struggling, he said, while those focused on safe banking principles will enjoy healthy customer acquisition.

“The operating rules that keep you out of trouble and mean success versus failure are different now,” Edwards told PYMNTS, adding that “what’s changed are the rules of how banks play the game in FinTechs.”