In an effort to provide enhanced services to U.S. sellers on Stripe, MasterCard Incorporated MA has partnered with the latter. MasterCard will now provide the first-of-its-kind service called MasterCard Send which will expedite payments of users of the instant payout feature of Stripe.
This new service will join all the debit card holders with one connection. It will also address the payment requirement of a vast section of customers ranging from consumers, businesses, governments instantly and securely.
This service will help drivers, delivery people, errand runners, caregivers, or other contractors to avail of the instant payout facility in marketplaces in the U.S. running on Stripe Connect. Some of the marketplaces on Stripe include Postmates, Instacart and iCracked. Other marketplaces such as Care.com and goPanache also use instant payouts. This helps caregivers and barbers get paid for their work immediately — at any time and on any day of the week.
This service will also bundle up with Lyft’s Express Pay feature. Express Pay helps drivers to get paid quickly instead of waiting to be paid in cycles. This service has been popular among drivers as witnessed by more than $500 million paid via this service that too in less than a year of its launch. Now, more than 50% of driver payouts are done via Express Pay.
MasterCard is keen on cashing out on this personal payments service platform since daily wage earners like drivers, barbers, caregivers form a good proportion of the working population. For them, getting paid on a daily basis matters the most. MasterCard Send provides this facility and can generate solid transaction growth for the company.
MasterCard carries a Zacks Rank #3 (Hold). Some better-ranked stocks in this space are Euronet Worldwide Inc EEFT, ORIX Corporation IX and Blackhawk Network Holdings, Inc. HAWK. Each of these stocks carries Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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