Discover, a digital bank and payments company, and Car IQ, a California based financial technology startup, have entered into a partnership to create payment platform for machine-initiated payments beginning with automotive fleets.
Cars can transact autonomously
Car IQ enables vehicles to connect directly to payment networks or banks and autonomously initiate and complete payments for services such as tolls, fuels, parking and more. The partnership will allow fleet vehicles that are connected to the Car IQ platform to transact autonomously to pay for services through the infrastructure of the Discover Global Network.
Car can automatically initiate and complete payments for services such as service / repair, tolls, fuel, insurance, parking and more. Once the service is complete, the vehicle generates a payment file for Discover to be paid via a virtual card transaction over the Discover Commercial Payments Network.
Know Your Machine technology
The highlight about the collaboration is the new method for payment authentication that can simplify the payment management of any vehicle. The company employs KYM (Know Your Machine) technology that makes it possible for vehicles to directly request, then validate / revalidate and pay for services rendered.
This method, according to the company, enables payments to have regulatory and security elements, creating a comprehensive banking and risk management solution specifically designed for vehicles.
