The UK based bank has rolled out the Paym service for its Business Internet Banking subscribers. The service was earlier limited to personal current account holders only. HSBC has a strong online business customer base of 600,000 who can now sign up for the Paym service. As part of the registration process, business customers can register up to 50 different mobile numbers in order to receive payments. This would help businesses with a large sales force.
Regarding the value of transactions that can be sent over Paym, there is no specified limit mentioned as such. Businesses could generate large volume transactions using Paym so having no limitations on the value of transaction is a feasible strategy. HSBC is also exploring ways in which business customers can conduct B2B and B2C payments using the service. Paym uses UK’s Faster Payments rails to initiate real-time transactions.
Paym was launched in UK in April this year. Since its inception, 1.6 million customers have registered for the service. Over £15 million has been transferred through Paym so far. With a number of banks joining the Paym bandwagon, more than 40 million UK banking customers can now register and use Paym.
Institutions participating in the Paym network include banks and building societies. Some prominent ones include Bank of Scotland, Barclays, Cumberland Building Society, Danske Bank, Halifax, HSBC, Lloyds Bank, Santander and TSB. Paym is also integrated into existing mobile banking and payment apps offered by participating institutions.
James Cliffe, HSBC’s Head of Business Banking, said in an official press release: “We want to do everything we can to support our business customers, including making it easier and faster to receive payments for the more than 600,000 customers who use Business Internet Banking. Paym offers a convenient way for businesses, from local shops to tradespeople, to get paid by their customers – and HSBC is offering them 50 different mobile numbers to register to their accounts.”
Paym has witnessed positive growth right from its inception. Over a period of just 100 days, it had registered more than 1 million users. In that period, about £6.5 million had been transferred through the channel. Paym had crossed the 500,000 mark in registered users just three weeks after its launch.
A survey of 2,000 adults conducted by TNS earlier this year, revealed an increase in consumer awareness and confidence in mobile payment services. Figures showed that the awareness of mobile payment services among consumers increased from 45% before Paym was launched to 75% just a week after the service became available. Around 65% of registered Paym users found it to be a safe and secure method for P2P remittance.