WhatsApp is planning to launch a new payment system called WhatsApp Pay. The service will allow users to send money and make payment, from their phone, by using text. This will serve as an alternative payment system to the popular PayPal or Monzo. WhatsApp Pay has been in testing in India since last year and now the company will officially roll out the service to the rest of the world.
The payment system is made possible via a UPI, which enables users to send and receive money easily. The payment process is enabled when a user links his or her bank account to their WhatsApp account via Unified Payments Interface (UPI). Whatsapp says it will start by expanding to service to its 400million users in India and then to other countries. The company is a statement said;
Payments services are critical to accelerating financial inclusion and bringing millions more people into India’s fast-growing digital economy. We can’t wait to provide this service to our users across India this year.
A report from the The Sun says Facebook, the owners of the popular messaging app has been struggling to make money from WhatsApp. It has been looking for ways to monetize the platform, and the payment service seems to be a better way. According to PP Foresight analyst Paolo Pescatore;
Payments seems a sensible way, but it is fast becoming a crowded base with offerings from the likes of Apple and Google. Telcos are also getting excited about this area. Such services resonate in emerging markets, but will inevitably be rolled out in other countries like the UK to allow people to make transfers to India.
How To Use WhatsApp Pay Feature
Locate the payment option in WhatsApp by tapping on the attachment button placed next to the camera icon. After that, you will see the payment option along with other options such as gallery, video and others. Click on this, and a list of banks will appear. Select the bank to which bank account is being linked. After selecting the account, you will just have to verify it to send the money.