Tech giant Google recently announced that the company scored a major partnership deal with two leading financial institutions, Visa and MasterCard. The deal will expand the reach of Google's online payment service, the Android Pay.

Google said the deal will allow Android Pay users to make online payments using either Masterpass or Visa Checkout, as long as the service is accepted at checkout.

Like Us on Facebook

Masterpass and Visa Checkout are MasterCard and Visa's attempt to establish their market in the online payment platform against major competitors like Apple Pay and PayPal.

On the other hand, Google expanded the scope of its Android Pay mobile payment service by establishing deals with major merchants all over the world.

Google explained that existing Android Pay users who have enabled Visa Checkout or Masterpass on their account are no longer required to make any changes once Android Pay support goes live. These changes will be automatically updated, according to TechCrunch.

Google is not the only company that tapped Visa and MasterCard.

Earlier this year, both Visa and MasterCard expanded their collaboration with PayPal. The deal will make it easier for PayPal users to use their Visa or MasterCard account when doing in-store shopping. The move was part of PayPal's strategy to gain more traction ahead of competition from rival mobile payment services like Apple Pay.

Google said the Android Pay app will receive the Visa Checkout and Masterpass update early in 2017. The company added that the update will roll out first in the United States, and later in the United Kingdom, Hong Kong, Singapore and Australia.

TagsGoogle, Android, Android Pay, visa, MasterCard, masterpass, visa checkout