More firms sign up to offer Paym

Six more banks and building societies have signed up to offer the Paym mobile payment service

Six more banks and building societies have signed up to offer the Paym mobile payment service, which allows consumers to pay for goods using their phone numbers.

Approximately 1,450,000 customers have registered to use Paym, and banks such as RBS, NatWest and Yorkshire bank will offer Paym later this year.

Jemma Smith, director of communications and education at the Payments Council, explained this would add to the 1.45 million consumers that have already signed up to use Paym.

She said: “The service has the potential to link every bank account in the country with a mobile number – it’s a great example of industry-wide collaboration that delivers an easy-to-use, secure new way to pay for customers.” 

The service is currently available to more than 30 million customers, and the payments council hope to extend this to more than 40 million by the end of the year. A further four banks also plan to join the initiative in 2015, including Metro Bank, Nationwide Building Society and Tesco Bank.

The Payments Council launched the service in April 2014, and claims the Paym project is the first to enable a link between every current account in the UK using only mobile numbers.

Since its launch, the mobile transaction service was responsible for over £6.5 million of transactions in its first 100 days, proving the popularity of the continually growing mobile payments space.

Although many banks are already members of the Paym initiative, some offer their own mobile payments solution, and there are other services available to allow consumers to pay using alternative methods. For example, Barclays offers the Pingit money-sharing application, and Apple recently introduced the Apple Pay mobile wallet.

A report by the Payments Council predicts that by 2018, one billion transactions will have been made using Paym, and that 63% of consumers will use Paym to ask friends and family to pay them back for items such as dinner or cinema tickets.

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