Citibank India announced a new paperless mobile payment system for its credit and debit card customers that would do away with the charge slips and be implemented for the entire global network of its US-based parent Citigroup.
The development makes Citibank India the first country franchise within Citigroup to launch a mobile payment solution, which has been developed with its technology partner Ezetap.
Citibank said in a statement it has already partnered with seven leading brands for the launch of this service in India, where it would help its more than 320 million card customers to make payments through their debit and credit cards at POS.
The new payment solution will help customers purchase a range of goods and services, pay insurance premiums, mobile phone bills, recharge mobile phones or buy movie, theatre and event tickets at the convenience of their homes or offices with their cards.
The secured paperless transaction not only does away with managing charge slips but also combines the many benefits enjoyed by Citibank card customers, including instant redemption of reward points and ability to opt for EMI payment option while using this new payment alternative, comments Anand Selvakesari, Country Business Manager, global consumer group, Citibank India.
The industrys first fully certified and secured mobile payment solution from Citibank, seeks to change the way payments are made for products and services of daily use in India, just as the first ATM pioneered by Citi in 1977 revolutionised the concept of cash withdrawal worldwide, Selvakesari continues.
The new system can work through a dongle, which can be plugged into smart phones and tablets and is compliant with the global security standards developed by the Payment Card Industry Security Standards Council.
Citibank said the payment process is compliant with Citigroup global security standards and has also been approved by regulators in India. We believe that this payment and collection device has the potential to dramatically increase the penetration of card terminals, says Muge Yuzuak, Country Head, cards and personal loans, Citibank India.
Card terminals in India currently stand at around 700,000 with China estimated at around 5 million, Selvakesari says adding that India has the potential to be anywhere between 10 and 20 million acceptance points across industries over the next few years.