MFS’ first product, expected to launch in April 2013, will be a prepaid account accessed via mobile phones alongside a MasterCard card, which lets consumers transfer cash to other people, make in-store purchases, refill their phones and carry out other financial transactions.
The product is mainly set to address the payment needs of Telefônica Vivo clients who do not have bank accounts. However, users who already have current accounts can also sign up for the service. Cash can be transferred onto pre-paid accounts at mobile phone refill stations, including supermarkets and newspaper stands.
The product uses USSD technology and is compatible with all GSM devices. Furthermore, transactions are completely secure as data provided while browsing, such as passwords, are not stored on the device.
Similar services provided via partnerships between the operator and MasterCard are currently available in Argentina and Peru. Financial transactions based on USSD technology are also used in Africa and the Philippines. Telefônica Vivo has been using this technology since October 2011 to refill mobile phones and it attracts over 7 million accesses per month.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now