Google could soon launch a Google Pay-based debit card

Google could soon enter the smart payments card business to compete against the likes of Apple and Huawei. 

The company is reportedly working on a physical payments card, tipped to launch as Google Card or Google Pay Card. Unlike Apple Card, which is a credit card, Google Card would be a debit card that will be co-branded with different bank partners like Citi Bank. Besides, Google Card will initially come with a Visa-powered chip, and could offer support for other payment processors like MasterCard, reported TechCrunch.

Google also aims at using the Google Card as a foundation to its payments app, Google Pay, which would rival the Apple Card and Apple Pay. Currently, Google Pay only allows online and peer-to-peer transactions by linking the user’s payment card to the app.

A physical payments card could open doors to new revenue and data streams for Google. It could partner with banks and charge interchange fees on purchases made using the Google Card. Depending on the privacy decisions, Google could also transaction data to suggest ads based on the purchases made.

It is unclear when will Google debut its debit card, but the company did confirm with TechCrunch that it is exploring ways to “partner with banks and credit unions in the US to offer smart checking accounts through Google Pay, helping their customers benefit from useful insights and budgeting tools while keeping their money in an FDIC or NCUA-insured account.”