UK Banks Launch Joint Mobile Money Transfer Service
Published on: 29th Apr 2014
A method for consumers to pay using just a mobile number has been launched in the UK and is backed by most but not all of the UK's banks.
Paym -- pronounced "Pay Em" -- is now available to more than 30 million people, although calculations suggests that around 10 million people with bank accounts wont have access to the service for another year or more.
The intention is that Paym will be integrated into customers' existing mobile banking or payment apps as an additional way to pay, making it possible to send and receive payments using just a mobile number.
Users will be able to send up to £250 a day through Paym, although some participating banks and building societies offer a higher daily limit.
Research carried out to mark the launch of Paym found that almost two thirds of people (62%) agree that being able to borrow money is a sign of true friendship.
Younger consumers are the most relaxed about lending and borrowing with 37% of 18 to 24-year-olds happy to lend because they like treating people to things and 74% are happy to be able to help. But they also have an expectation in return with 46% lending because it means they can ask for the favour to be returned at some point.
IOUs from parents to children 'the bank of mum and dad' amount to £3.7billion each year but money going the other way 'the bank for mum and dad' is also significant, amounting to £1.6billion each year.
The participating banks at launch are: Bank of Scotland, Barclays, Cumberland Building Society, Danske Bank, Halifax, HSBC, Lloyds Bank, Santander and TSB Bank.
On the web: Paym