Proving that the UK’s tech-savvy consumers and businesses are keen to find a new way to transact with one another, the Payments Council announced yesterday that one million individuals have registered to use their Paym system, which allows money to be transferred between bank accounts using just a mobile phone number.
The system, which launched back in April with support from Lloyds, TSB, Santander, Bank of Scotland, Cumberland building Society, Danke Bank, Halifax and HSBC, is available to around 30 million UK account holders.
The Payments Council announced at the end of May that 500,000 individuals had registered to use the service, which is available to bank customers in several different guises. Barclays customers will know the system as “PingIt”, while for Lloyds, Halifax and TSB customers the service is branded as “Pay a Contact”. HSBC and Santander simply call the service “Paym”.
Although these growth numbers appear positive, they show that adoption of Paym is actually slowing down. In the month it launched Paym registered around 16,000 new users per day, however that number has now more than halved, with Paym registering slightly more than 7,000 new users per day since the beginning of June. Those one million users have collectively transferred £6.5 million through Paym technology – or £6.50 per user.
Despite this apparent slowdown, the Payments Council are bullish about Paym’s future. Jemma Smith, Director of Communications & Education at the Payments Council said:
“It’s hugely encouraging that one million people have chosen to register for Paym already, but this milestone only marks the start of growth in the service.
“I think that securely paying back friends and family using just their mobile number will become second nature – and we’ll wonder why we ever did anything else. The next big step forward is more banks and building societies joining before the end of the year, and as a result we look forward to millions more people signing up and using the service.”
Photo by Allan Donque