Interac’s Konek Wallet Takes Aim at Visa and Mastercard in Canada

Canada’s Interac-backed Konek wallet is expanding to more online checkouts, giving shoppers a way to pay directly from their bank accounts instead of using Visa, Mastercard or American Express.

Interac said Tuesday that Global Payments will enable Konek across its Canadian merchant network, potentially bringing the digital wallet to thousands of businesses. The rollout starts through Global Payments’ API before expanding to its built-in online checkout and hosted payment products.

Konek supports both card payments and payments directly from chequing or savings accounts. Those bank payments run through Interac Direct, which Interac says is available exclusively through Konek.

For merchants, that creates an alternative to traditional credit card transactions. Interac says Konek can reduce acceptance costs compared with most traditional cards, while fraud liability shifts from the merchant to the issuer. Payment information is also tokenized rather than shared directly with the retailer.

For shoppers, however, paying from a bank account comes with a trade-off. A Konek bank payment does not earn the cash back, points or travel rewards offered by many credit cards, and customers may also give up card-related benefits such as purchase protection or extended warranty coverage.

Global Payments expects Konek to become available to a broad range of its Canadian merchant customers by fall 2026. Staples is the first major retailer to go live with the payment option.

“We are proud to collaborate with Global Payments to scale the availability of Konek to more businesses of all sizes across the country,” said Kris Zanuldin, head of Konek at Interac, in a statement to iPhone in Canada on Tuesday.

Interac cited its 2025 Payments Diary study of 3,039 Canadian consumers, which found 47 per cent of mobile wallet users value convenience. It also found 42 per cent of Gen Z and Millennial respondents are increasingly open to paying directly from their bank accounts for online purchases.

“Canadian merchants are navigating rising consumer expectations, and checkout has become a real differentiator,” said Chris Baron, general manager and Canada country head at Global Payments. “Enabling Konek gives merchants access to a solution that’s built for how Canadians want to pay. This includes more direct, bank-based payment options that offer speed, security and flexibility, all while helping them manage the cost of acceptance in the process.”

The broader rollout gives Interac and Canadian financial institutions a bigger role in online payments that have traditionally flowed through major credit card networks, while giving consumers another checkout option if they are willing to give up their usual credit card rewards and perks.