Not long ago, whoever had one or multiple credit cards was considered part of the social elite, as banks were very rigorous in giving them and people wanted to have one no matter what.
However, in recent times the Internet began revolutionizing banking as we knew it. Fintech was born, which means online banking and payments, but, even if banks became more flexible at offering credit, the current trend indicates plastic will soon go out.
What will I use if not physical cards?
Virtual cards have entered the fray, as they represent comfort and convenience for users. A virtual credit card is a great solution for online payments, as it allows online purchases and payments, and even phone transactions.
One of the biggest points in favor is that cybersecurity, in theory, is not affected, so your information will be safe. How is this possible? It’s simple: the use of virtual credit cards hides the real credit card number and gives a temporary, randomly generated account number.
When you make online purchases, you can request your bank a virtual card and even set a maximum amount to spend, as well as the expiry date. Once you use the virtual card it will cease to work; they’re one-time use only.
Unfortunately, virtual credit cards have some disadvantages as not all consumers are familiarized with these products and, as it may happen, new things scare us. Lovers of the old-school refuse to stop using plastic, as they’re people who’re normally against any kind of online payment.
Besides, these kinds of cards, in general, require additional clicks during the purchase process, which makes it even slower.
Transfer is an app that has been slowly gaining new users. In the beginning, around 2012, it was a mobile platform that allowed you to send and receive money through your phone via SMS.
In 2016, with the smartphone boom, the app evolved to make things easier. It has been used by some Mexican banks like Citibanamex, Inbursa and even BanCoppel, an has announced an evolution towards a new digital era.
Transfer’s app will enter the virtual credit card world in full force.
Transfer’s new features… in group savings
Now, Transfer will have features that will allow you to make contactless payments in phones with NFC technology, and, pay attention office workers, even support group savings.
Yes, as you read that right! Citibanamex explained that group savings will work like a Whatsapp group, where you can invite your contacts to make the corresponding payments via the app. If you or your mom like organizing group savings, you have the perfect app to demand payments, as with Transfer, old excuses like ‘’I’m out of town’’ will be forever gone.
In 2012, Transfer occupied the first place in the list of payment platforms associated to a mobile phone, which has allowed more people to get to know this new possibility for payments.
Transfer hopes to close 2017 with 6 million users and, unlike the 9 million transfers done in 2013, nowadays there are 310 million transfers done within the app.
The advantages of the new Fintech era
Even if many users can experience difficulties adapting, this new online payment possibility will allow a deeper financial inclusion, as anyone with a phone will be able to download the app and make payments more easily.
Credit will be more readily offered, as well as investment accounts, the savings culture and proximity payments; all this according to financial groups like Inbursa, who have all their hopes placed on this new payment option. Yes, it will probably be a slow and gradual process, but if it continues this way, even cash, which represents a big expenditure for governments, may go out of fashion.
Government, young users and financial institutions must be the ones to push not only the use of these new technologies for online payments, but also security in them, as only that way will they convince more users to join and make shopping easier.
For now, if you want to help in this process, you may start sharing this article to your group savings friends, so they get to know Transfer and never miss a payment again.