On May 21, Fidelity National Information Services, Inc. (NYSE:FIS) announced a strategic partnership with Letskipp Ltd. to introduce an innovative non-sufficient funds (NSF) authorization solution for its debit clients.
A businessman at a smart POS terminal, demonstrating contactless payment methods.
Fidelity National Information Services, Inc. is a leading international financial technology company providing a range of services for financial institutions, businesses, and developers. Letskipp Ltd. operates a platform facilitating collaboration between card issuers and merchants.
Together, the two companies aim to solve the “insufficient funds” issue, which is a leading cause of card declines at the point of sale. The partnership will introduce the first-ever non-sufficient funds (NFS) authorization, which will allow issuers to approve transactions even when the customer’s available balance is insufficient, without charging overdraft fees to consumers. Merchants can choose to voluntarily pay a premium to authorize these NSF transactions. This not only removes friction from the payment process but also creates a new revenue stream for issuers.
Jim Johnson, co-president, Banking Solutions, at Fidelity National Information Services, Inc. said:
“As money moves between merchants, companies, financial institutions and card issuers, every transfer should be timely and seamless. This partnership underscores FIS’s commitment to helping our clients unlock new revenue streams and deliver smooth payment experiences.”
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