Payment by text for UK: ETA spring 2014

Payment by text for UK: ETA spring 2014Our friends in Africa have been making payments via text for a while, thanks to systems such as (Ladysmith Black) M-Pesa.

The UK is set to take a page out of their book, welcoming payments via text in the spring of 2014 – or thereabouts.

The text payment scheme has eight big-name backers, namely Barclays, Cumberland Building Society, Danske Bank, HSBC, Lloyds Banking Group, Metro Bank, Royal Bank of Scotland, and Santander.

Administering the scheme are Faster Payments (which processed more than 800 million transactions last year) and the Link network (which handled 3.1 billion ATM withdrawals in 2012).

What’ll happen is, see, your bank will contact you to ask if you want to be added to an opt-in database. There’s no need for a separate account or anything, and indeed sort codes and account numbers are effectively redundant; all you need is the other person's mobile number. Hmm.

The Payments Council promises some sort of security measure, perhaps a passcode or similar, though it hasn’t been finalised just yet. Nor has the maximum payment amount. That’s, er, reassuring.

We’re sure the text payment scheme will be of particular interest to our Jan, who doesn’t have a bank account. Or a fridge.

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7 comments

matt101101 / MOD  Jan. 17, 2013 at 14:12

Erm, why do I need this? What does it achieve that can't be done already? Sorry, I just don't see the point.

Pondlife  Jan. 17, 2013 at 14:28

At least it's opt in rather than opt out, for now anyway.

mrew42  Jan. 17, 2013 at 17:00

Grrr. The Payments Council have mandated it so we (remember I said I work for a Bank?) have to deliver it.
Like I haven't got any other work to do - like looking at mobot all day.

Andy247  Jan. 17, 2013 at 19:10

Erm, why do I need this? What does it achieve that can't be done already? Sorry, I just don't see the point.

It'll bring an end to the money grabbing gits at PayPal, and that makes me smile.

matt101101 / MOD  Jan. 17, 2013 at 22:13

Erm, why do I need this? What does it achieve that can't be done already? Sorry, I just don't see the point.

It'll bring an end to the money grabbing gits at PayPal, and that makes me smile.

Not as long as eBay force PayPal as a payment method (unless you use cash on collection, which is useless for long distance sales).

Pondlife  Jan. 17, 2013 at 22:18

Thought it was some sellers that insisted on it and that even cheques were still possible?

matt101101 / MOD  Jan. 17, 2013 at 23:11

Thought it was some sellers that insisted on it and that even cheques were still possible?
PayPal has to be offered as a payment option, I did say a payment method, not the only payment method.

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