Google checking account service on its way — report

SAN FRANCISCO — Google plans to launch a checking account service next year in collaboration with Citigroup and a credit union in Silicon Valley, the Wall Street Journal reported on Wednesday.

In a project code named Cache, Google is working on a system that will host checking accounts clearly bearing the brands of the financial institutions, which will handle security and regulatory compliance issues, according to the Journal report.

The report quoted a Google executive as saying the company's approach "is going to be to partner deeply with banks and the financial system" in what might be seen as a longer but safer route.

The move would come as internet titans become increasingly involved in online financial transactions and e-commerce.

Apple and Google both offer digital wallets that can be used on smartphones to pay for purchases online or in real-world shops.

Apple also recently released a credit card.

Amazon has been reported to be in talks with banks about creating a checking account service.