Banks in Ireland to develop a ‘joint application’ to defeat Revolut

DUBLIN: Four banks in Ireland are working together to develop a new payment system to defeat Revolut. AIB, Bank of Ireland, Permanent TSB and KBC Bank are preparing for the move, which is expected to rival Revolut.

They plan to build an an app-based instant payment system to prevent losses to consumers due to digital payments such as Revolut and Apple Pay. If this happens, it will be the first joint venture between the major banks in Ireland in over 20 years.

In case of violation of the Competition Act, the Joint Venture must notify the Competition and Consumer Protection Commission.

The banks are developing a new system called Project Pegasus to allow customers to make and receive instant payments from their own bank or any other bank in Ireland. The new system will be open to all banks and financial institutions here, including An Post and the credit unions.

Work on Pegasus has been under way for the past two years and co-ordinated through the Banking and Payments Federation Ireland (BPFI), the industry trade body. The innovative scheme also has the support of the Central Bank. According to banking sources, the new app will be launched soon.

Revolut is estimated to have more than one million customers in the country. However, the company claims to have more than 1.2 million customers in Ireland. The ease of use is what attracts most of them to this app.