BoB launches new cash-free payment facility

BoB launches new cash-free payment facility

People will not have to carry cash anymore!

Bank of Bhutan (BoB) has introduced the first ever “scan to pay” facility enabling merchants to accept electronic payment from customers.

The first Quick Response (QR) payment scan to pay is available through the bank’s popular mobile banking application (mBoB).

The scan to pay features enable merchants with BoB accounts to accept electronic payments through mBoB without the need for an electronic data capture (EDC) or a point of sale (POS) machine.

This is done through QR code where any customer using mBoB can simply scan the QR code displayed at the bank’s authorized merchants to pay for their purchases directly from their BoB account.

Even taxis fare can be paid through this service.

Authentication is done through the QR code, which is generated by the system and linked to the mBoB merchant’s bank account. The transaction is completed with enhanced security features protecting the customer’s account details.

The Chief Executive Officer (CEO) of BoB, Pema N. Nadik, said that BoB has embraced technology to serve its clients faster and also do more with less.

“QR based Scan to Pay is an excellent example by which one can pay merchants in three simple steps through the mBoB application,” said the CEO.

However, the merchants will have to register with BoB after which the bank will issue mBoB QR to them.

More than 20 registered merchants including two taxi drivers are using the facility now.

The new “scan to pay” will be available on mBoB once the customer updates the mobile banking application through Apple and Google Play mobile app stores. By the end of the year, the bank targets to add more than 200 mBoB merchants to its ecosystem.

Simultaneously, an online loan application was also launched.

Online loan application provides facility to customers to apply for loan through BoB’s website and also later through mBOB anytime, anywhere. A customer can apply for certain loans from any region and have the option of selecting the branch from where they want to avail the facility.

After submission of the application, the customer will receive an email alert or SMS, advising clients to visit the bank to complete the documentation formalities if everything is in order.  This will greatly improve turn-around-time (TAT) for simple loans and also for the customers. The feature will be available through mBoB from September 28.

mBoB users will have to update the application to avail these new services.

The CEO said that the online loan application facility for simple, salary-based loans will make the loan process fast and efficient.

He added if all the formalities and requisite documents are submitted completely, the loan will be processed and approved and will only require the customer to visit the bank to sign the documents.  This facility will set the standards for customer service in the country.

As of now there are around more than 60,000 mBoB users. Around 10mn online transactions were made for Nu 519mn.

Dechen Dolkar from Thimphu