Terms of the agreement are not being disclosed.
Citi Branded Cards US head Ralph Andretta said: “In 2016, Citi has made tremendous strides in our mobile offerings to deliver next-gen solutions to enable banking in the palm of our customers’ hands.
“We’re thrilled to continue that momentum through a new partnership with PayPal in which two leaders in payments are collaborating to further drive innovation and foster a more seamless payments experience.”
With this agreement, Citi is the first global bank to partner with PayPal to tokenize cards for customers wishing to use PayPal for in-store purchases, across Mastercard and Visa portfolios in the US.
PayPal chief commercial officer Gary Marino said: “We continue to partner with the global leaders like Citi that share a common vision to make payments simple, safe and convenient regardless if people are shopping online, in app or in store.
“This agreement gives PayPal and Citi the ability to leverage each other’s core assets to create better payment experiences that add value to the lives of consumers and merchants.”
This announcement follows a number of recent enhancements to Citi cardmembers’ mobile experience, including new Citi Mobile App functionality that enables Citi credit cardmembers to quickly and easily dispute certain posted charges, track their replacement card delivery in real-time and lock their account if their card is lost or stolen.
Citi also announced the global launch of Citi Pay, facilitating online, in-store and in-app payments for customers globally, starting early next yea
