PayShap launches to transform low-value digital payments in South Africa
By Gloria Methri
South Africa has cleared the way for broader financial inclusion of the underbanked segment with the launch of Payshap, a low-value, real-time digital payment service. Born out of the country’s Rapid Payments Programme, PayShap is now live and available through Absa, FNB, Nedbank and Standard Bank, with more banks coming soon.
The new instant interbank payments service is designed to meet the country’s need for digital payment agility. PayShap offers the ability to make quick and easy payments from one account to another at different banks. It is expected to transform the digital payments landscape for all South Africans.
With a limit of up to R3000 per transaction, PayShap can be used for day-to-day payments that would have traditionally been done in cash.
A first in South Africa, PayShap introduces a payment identifier other than a bank account number for payments. Bank customers can provide their cell phone number when they need to be paid. They simply need to login to their banking app or internet banking, look for the PayShap icon and follow the prompts to register their cellphone number for payments. This becomes their ShapID.
PayShap is not for personal transactions only but is also a viable cash alternative for businesses of all sizes for low-value payments. Instant payments from customers means that businesses can free up cash flow and grow their operations. Digitisation of cash helps businesses develop a track record and credit profile, creating new business development and growth opportunities.
The now commercially branded service is an industry-led initiative that supports the South African Reserve Bank’s payment system plan.
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