PLEASANTON, Calif.-A new product from the clearXchange joint venture of Wells Fargo, Bank of America and JPMorgan Chase may rattle the highly competitive person-to-person payments market.

Send and Receive Money, which recently went into production, is pretty much just what it says, and given the considerable size of its backers (38% of banked consumers), should have plenty of reach. It allows Wells Fargo and Bank of America customers to send and receive funds transfers from other customers by using an email address or mobile phone number. Although the free service is driven by clearXchange, consumers will use it by registering on their existing online banking or mobile apps with Wells Fargo or Bank of America.

"ClearXchange will shake up the P2P market. ... This is a big-play," Mary Monahan, executive vice president and research director for mobile with Javelin Strategy and Research, told American Banker, an affiliate of Credit Union Journal.

It's all about the brand, says Mike Kennedy, executive vice president and head of enterprise payments strategy and chairman and co-founder of clearXchange. "People trust their banks and want to do transactions with their banks," he says.

Upon clearing a security process during registration, consumers of the two banks will be able to send money to each other without exchanging account numbers or other banking information. While JPMorgan is expected to also be part of Send and Receive, it has not yet publicly announced its participation. JPMorgan and Bank of America "will triple the network that people can send person-to-person payments to," Kennedy says.

But that still leaves a lot of the bank-driven P2P payments market-62% based on Javelin's numbers-on the outside and accessible to competitors, a closed network challenge that clearXchange, which has been around for more than a year, is still working hard to fix.

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