Amazon is quickly turning itself into an online one-stop-shop for consumers. Next up for the e-tail giant? Entering the e-commerce fold with a new payment product system that puts it in direct competition with PayPal.

Amazon Payments, which launched Monday, aims to allow consumers to use their Amazon accounts to send and receive money and shop online at a number of online sites, CNN reports.

Retailers and other businesses looking to use the service will have Amazon’s security and already plentiful user database at their disposal. In addition, consumers who already have Amazon accounts can save precious time during checkout.

The system uses the information already stored in a consumer’s Amazon account to log in and pay for their desired purchases. Consumers are also covered by the same buyer protection plan available with Amazon.com purchases.

The platform features no recurring fees for retailers, however, Amazon plans to take a standard cut of 2.9% from those businesses, as well as $0.30 for each transaction of $10 or more.

Amazon currently has 244 million active customer accounts, creating a large pool of potential users for the new service. In contrast, PayPal, which has long offered the similar services, has roughly 148 million active accounts.

Amazon launches PayPal competitor [CNN]

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