On Wednesday Dwolla announced the latest update to its services: Dwolla Direct, which will allow users to send money over Dwolla’s network without fully registering for an account.
Previously the Des Moines-based payments company offered a similar feature—called guest checkout—that allowed an individual to use Dwolla to make a one-time payment from their financial institution to an online merchant. Dwolla’s director of communications and policy affairs Jordan Lampe says Dwolla Direct improves that experience by “wrapping a layer of security around your bank information.”
Dwolla Direct users will simply need to supply a username and password to ensure their bank information is hidden from the recipient and that the financial information doesn’t need to be re-entered for each payment. The company thinks the feature will be attractive to small businesses, nonprofits and government agencies that don’t want to sign up for another online account but struggle to make payments electronically.
Last month the company announced the latest iteration of its Next Day Transfers feature, which allows many of the same groups to move money over Dwolla’s network in just one business day.
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Dwolla Direct will be available to users on June 25.
Read more about Dwolla’s latest news with our previous coverage: “Dwolla launches next day bank transfers, speeds up payments.”
