Online shops are likely to speed up instant payment

Experts estimate that there are approximately 10,000-14,000 online shops in Hungary, which realised more than HUF 500-billion sales in 2018. Half of online purchases are still paid for in cash, when the goods are delivered. An analysis by FinTech Group reveals that instant payment solutions can turn now cash paying online shoppers into users of the new technology.

Gábor Lemák
head of strategic developments
FinTech Group Kft. and
Azonnali Fizetés Szolgáltató
Centrum

Today online purchases can be paid for by bank transfer and this involves providing all the necessary data, which takes relatively a lot of time. From 2 March 2020 this won’t be necessary any more: retailers will be able to compile the ‘pack of data’ needed for the staring the bank transfer instead of the customer.

1.Bank transfer started by taking a photo of the QR code: Retailers can use a QR code generator to pack all the necessary data into a QR code. If the customer has a mobile banking application, they can use it take a photo of the QR code and by this the data needed for the transfer are provided automatically! FinTech says 1.2 million customers are already ready for this.

2.Instant payment started by payment request (money transfer): If the customer doesn’t have the smartphone app mentioned above, they can decide to use this form of payment. All they need to do is give their mobile phone number to the retailer, who will send all the data needed for the bank transfer to the bank account to which the phone number belongs. The customer can check everything via their internet bank and the money transfer is made if they approve.

According to the study of Fintech Group, potentially 4.5 million customers can be reached by payment request. However, the number of how many consumers can be reached will be influenced very much by what kind of registration (opt-in) procedures will banks develop for collecting the authorisations from customers for receiving payment requests. //