HSBC, the U.K. bank, has started beta testing of its PayMe System, a digital payment system for businesses.
According to a report in Fintech Futures, HSBC started the beta test with 15 retailers in Hong Kong. They can now accept payments from customers that use HSBC’s eWallet. In the early part of 2017, HSBC announced the new payment app, geared toward millennials in Hong Kong who also wanted social media built in. Since its launch, HSBC said it has close to 1.5 million users for the eWallet, according to the report. PayMe for Business is the latest addition to the digital payment service, noted the report. Initally the service will be open to HSBC Business Banking customers in Hong Kong only. With it, business customers can now accept payment from PayMe users.
“The feedback collected during the beta test will not only help us enhance customer experience but also prioritise the development of the new features that businesses need most,” Greg Hingston, head of retail banking and wealth management, Hong Kong, HSBC, said in the report. He said business customers will have a separate app that lets them receive payments via QR codes and provide refunds. The business customers get access to HSBC representatives from the app as well. As part of the test HSBC said transaction fees for businesses will be lifted for the first three months. Customers pay a 1.5 percent fee on each transaction thereafter, noted the report. The U.K. bank plans to add more retailers to the beta test in the next few months.
HSBC has been rolling out technology in the business market to compete with the FinTechs that are transforming financial services. Last year it announced plans to roll out a suite of APIs to support FinTech collaboration and enhance its offerings. The bank created the Digital Partner Platform as a portal through which third parties, including FinTech firms, can collaborate with HSBC and access a set of APIs.