JPMorgan distances itself from Visa and Mastercard thanks to the new Cartes Bancaires partnership
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JP Morgan recently decided to distance itself from card and payment giants Visa and Mastercard by joining the French payments network called Cartes Bancaires (CB). The move will enable its merchant clients to process card payments without depending on Visa and Mastercard.
JPMorgan to offer access to the CB network by the end of 2024
Commenting on the new team-up, the leading US bank stated that it will offer users to access the CB network by the end of the year. For now, it seeks to provide competitive transaction costs and leading local processing performance for credit and debit card payments.
This is also an important step for CB, as JPMorgan became its first American “principal member” with this partnership. In other words, JPMorgan joined to company’s 12-member governance body, which consists of the biggest banks in France, such as Societe Generale, HSBC, and BNP Paribas.
JPMorgan’s head of EMEA Payments, Shahrokh Moinian, commented on the new move, stating that the European payments landscape is rapidly evolving. As a result, the bank’s principal membership places it in a perfect position to provide future innovations and efficiencies to its clients.
Cartes Bancaires’ CEO, Philippe Laulanie, also commented on the new collaboration, stating: “The road that now opens before us will lead us to numerous projects, which will bring real added value to the entire CB community.”
The new partnership will enable greater diversity of payments
CB was created back in 1984, and by 2022, it has recorded over 76 million cards in circulation. The company also processed over 15 billion transactions worth approximately €685 billion.
As such, Cartes Bancaires is the leading payment system in France, allowing users to make payments via card or mobile devices. This is also something that JPMorgan values, as the co-head of EMEA Payments & Commerce Solutions, Ludovic Houri, explained by saying: “Our north star is to enable our merchant clients to offer their customers a varied choice of payment options to suit their needs.”
Houri also explained that becoming a member of Cartes Bancaires will help JPMorgan take things to a new level in Europe, and particularly in France. He added that it is a huge honor to become a principal member of CB, and that JPMorgan ise excited to participate in the strategic direction of the scheme by supporting its continued expansion and development.
At this point, JPMorgans’ EMEA Payments business processes more than $1 trillion in payments daily. It also acquires over 1,500 active European clients. On a global scale, it processes almost $10 trillion in daily payments, while operating in 160 countries and working with more than 120 currencies.
