Whether you need to pay for goods & services, for rent, or split the dining bill, you can now instantly send cash to others just by knowing their mobile number or NRIC. This new service is called PayNow, and it allows individuals to send and receive money securely without having to know or enter bank account details. Instead, all you need is a linked mobile number or NRIC. This service is available across the 7 major banks in Singapore, and if you sign up today, you can get in on some sweet bonuses.
What is PayNow? What are the Benefits?
To make funds transfer more convenient and efficient, the Association of Banks in Singapore (ABS) launched PayNow just one week ago. The service is secure, available 24-7 and is free to users.
If you’ve ever had to send money electronically to someone’s bank account, you had to ask for, confirm, then double confirm the person’s full name (as stated on his/her bank account), bank name, and bank account number. When performing the transfer, you probably took great care in entering the information, typing each detail one-by-one, while glancing back and forth to make sure everything was correct. Perhaps you also had to read aloud the account number multiple times before completing the transfer. PayNow will hopefully make this process simpler and more convenient, since you just have to enter the recipient’s mobile or NRIC.
How is PayNow Different From GIRO & FAST?
As a way for payers to send money through electronic direct debit without the need for cheques, GIRO has been with us the longest (since 1984). But for GIRO to complete a fund transfer, it can take up to 3 working days. GIRO also requires a lengthier setup process, as you have to submit an application. In 2014, FAST (Fast And Secure Transfer), was created as an almost instantaneous electronic transfer of funds. However, in order to use FAST, the payer would need to know the recipient’s bank account details.
What makes PayNow different is that 1) the signup and linking process is one-time and super easy, and 2) the only info you need to make a transfer is the recipient’s mobile number or NRIC. The other major difference is that PayNow is only offered by 7 banks in Singapore (while FAST is offered by 18 banks). The 7 banks are:
- Citibank Singapore Limited
- DBS Bank/POSB
- OCBC Bank
- Standard Chartered Bank, and
- United Overseas Bank.
How to Sign Up?
Signing up for PayNow can be done through internet banking. The one-time process of linking your mobile or NRIC takes less than 1 minute. You can choose to link either your mobile number, your NRIC, or both. Foreigners can also signup with their FIN.
Why Should I Sign Up?
Cheques, FAST and GIRO have their uses, but PayNow is an attractive option for urgent, frequent or small transactions. This push toward a cashless society is the way of the future. To nudge you to become an early adopter, many banks are offering sign-up bonuses. These bonuses or freebies are listed below (you may click on each of the logos to be directed to the respective bank):
Other Things to Note
You only have to be registered with PayNow if you are receiving money through PayNow, otherwise, as a sender of funds, you do not have to be registered with PayNow. Whether you are a sender or a recipient though, you can only access PayNow through your bank’s internet banking site or mobile banking app.