Mobile payments set to start in 2014
January 17, 2013 at 2:34 pm
Our mobile phones are the thing we are least likely to leave at home, whether we use them to keep in touch, surf the internet or take photos. In just over a year, however, they will have yet another use. In spring 2014 it will be as easy to make a payment from a mobile phone to an individual or business as it is to send a text, and the good news is that 90% of us with current accounts will have this facility.
Currently eight financial institutions have signed up to the process including the large high street banks and other less well known institutions such as the Cumberland Building Society. Others representing a minority of account holders are still in discussions.
Early next year banks will contact their customers giving them the chance to register their mobile phone number and details of the account to which they want to be linked. Full details of what else the customer has to do and when exactly the service will be available will also be provided in due course.
Last year over 5,000 people took part in research carried out by the Payments Council, two thirds of whom were smartphone users, and gave it a big thumbs-up. Between now and next spring, financial institutions will be carrying out work on speed of service, security and other technical issues.
There will be no need to share account details, but customers are nevertheless bound to be concerned over security; it is likely that a passcode, PIN or similar safeguard will be required to make a payment. Banks will also have the ability to freeze an account remotely if they suspect misuse.
Sir,is this facility to be availed of current accout only?