Visa, Monitise expand mobile payments service to India
Movida, a mobile payments joint venture backed by Visa and Monitise, has signed an agreement with HDFC Bank, which claims to be India’s second-largest private bank, to introduce the mobile payment service. Via the new initiative, HDFC Bank consumers can pay bills, top up prepaid airtime and buy tickets via their handset.
Visa is a global payments technology company that connects consumers, businesses, financial institutions and governments in more than 200 countries and territories to fast, secure and reliable digital currency.
Monitise is a technology and services company delivering mobile banking, payments and commerce networks worldwide with the proven technology and expertise to enable financial institutions and other service providers to offer a wide range of services to their customers in developed and emerging markets.
Movida is a 50:50 joint venture between Visa and Monitise that establishes mobile handsets as the core device for making electronic payments.
The new service uses menu-based USSD mobile technology.
Consumers can link their HDFC Bank Visa or non-Visa payment card to their mobile phone number, to access the service via USSD over Movida’s connection.
According to Visa and Monitise, the system includes several security measures to maintain account integrity, including a unique PIN number set up on the phone to access the account information.
Rolling out a service such as this to Indian consumers is a good thing for both Visa and Monitise.
Although mobile banking is increasingly rapidly, there are still many countries that do not offer mobile banking services.
Consumers are always on their mobile devices and giving them a way to make purchases is not only essential, but something that can no longer be overlooked.
The new mobile service between Visa and Monitise lets millions of Indians become part of the digital age and user their prepaid mobile phone.
Although the service is initially being offered to a select number of valued customers, both Visa and Monitise plan to roll it out across the country later in the year.
Rimma Kats is staff reporter on Mobile Commerce Daily, New York