The Bureau of the Fiscal Service (BFS) announced that Amazon Payments will soon be available as a third digital wallet option for consumers required to make a payment to the federal government.
The aim is to increase efficiency and security of electronic transactions for the federal government and enhance the customer experience.
In 2015, BFS signed agreements with PayPal and Dwolla to provide digital wallet services. These payments will enable consumers to make transactions using Internet or mobile app without the need to enroll in an additional system, provide personal information or risk card-centric fraud.
Assistant commissioner for revenue collections management Corvelli McDaniel said: "We are committed to giving Americans choices for transacting with their government. Today, digital wallets are popular consumer payment channels because they provide a convenient, safe and simple customer experience."
Amazon Payments will be available to customers at the federal government’s web portal Pay.gov along with existing digital wallet alternatives.
BFS collected $3.98 trillion in revenue in fiscal year 2015, of which 98% was settled electronically. Through Pay.gov, BFS processed more than $143bn through 162 million transactions.