New payment system in UK by phone ? what do you think ?

[CharlieH]

It seems there is a new payment system just rolled out in April in the UK.

The payment system PAYM, enables you to simply pay up to £250 a day to anyone with just their phone number.

Very easy and convenient way to move money if you are in Thailand with your UK sim and need to get or give some money.

Full details available at http://www.paym.co.uk

Seems most of the High street banks have adopted it.

Could be a great way for sellers on the net to get paid directly to by UK customers too, any thoughts ?

Edited May 15, 2014 by CharlieH

[fletchsmile]

Using phones to move money around is gaining in importance globally. Particularly in Africa. I believe it's also picking up interest in Phillipines, where around 10% of GDP comes from people working overseas sending money home.

Very useful for the "unbanked" element in society.

Expect to see more of it...

Cheers

Fletch

[paddyjenkins]

This will be a new bonanza for fraudsters and criminals...they register number, hijack your mobile banking app to pay to that number.

Btw, someone said this will be good for the non banked....how? If you need a bank account to receive and you need a bank account to send, how will it help the non banked? Both sender and receiver need to link their phone number to an account.

Sent from my iPad using Thaivisa Connect Thailand

[fletchsmile]

This will be a new bonanza for fraudsters and criminals...they register number, hijack your mobile banking app to pay to that number.

Btw, someone said this will be good for the non banked....how? If you need a bank account to receive and you need a bank account to send, how will it help the non banked? Both sender and receiver need to link their phone number to an account.

Sent from my iPad using Thaivisa Connect Thailand

I guess seeing as only the two of us have have replied so far, that someone must be me

I was referring more to the way it works in countries like Africa and some of the other emerging markets, rather than the UK version of the system OP highlighted.

What happens in some of the models is that neither phone member actually need a bank account. They can transfer and make payments from one phone to another as well as other mechanisms. Key to the whole process is then being able to extract the financial value from the phone. It's possible to do this at outlets that are not banks. It's also possible to extend micro finance loans etc thru this infrastructure

In some places banks may be few and far between, miles away to be convenient, or the person simply not having the right credentials to be able to open a bank account apply for a loan etc. On a simple level imaging me being able to transfer money to you via your phone up country where you are miles away from a bank. Now if you could go into say a post office or a 7-11 or whatever other outlet and get the cash value, that could be very useful for those without a bank account

So that's my basic thoughts. I do see a lot of potential for this - using the phone - and the UK system being just one of many variations, with or without the need for a bank account - the latter being useful for the unbanked

Cheers

Fletch

[paddyjenkins]

Yes the UK system requires a bank at both ends. Maybe Africa is different. Personally I like cash. This is all headed towards a cashless world. When that happens we

are all at the mercy of thieving government and big brother.

Sent from my GT-I8262 using Thaivisa Connect Thailand mobile app

[Pib]

It's only for use within the UK. Can't be used to move funds to Thailand from you UK account. See below cut and paste for the paym site.