Visa has just made it
easier for U.S. consumers to send or receive money from any Visa debit, credit
or prepaid account in the world. Visa’s move will also put in competition with
global payments technology company that facilitates electronic funds transfers,
has already provided personal payments outside of the U.S. through over 70
programs for some time now. Now, the global leader in payments is offering the same convenience for U.S. account holders as well.
personal payments service allows anyone with an eligible Visa account to pay
one another directly without the use of cash and checks. Participating
financial institutions will allow their customers to make a personal payments
by entering the recipient's 16-digit Visa account number, mobile phone number
or e-mail address. Funds can then be transferred directly from one account to
another, and can be done to or from any Visa account in the world.
personal payments service was achieved by changes to Visa's global payments
processing network, VisaNet, and by creating a new transaction model that
allows banks to accept incoming funds. In addition, Visa has entered agreements
with CashEdge Inc. and Fiserv
Inc., which are two providers of electronic person-to-person
payment, bill payment and account transfers to U.S. financial institutions. The
agreements will allow both providers to combine Visa's personal payment service
with their separate person-to-person systems, which are Popmoney and ZashPay. Customers of both platforms will then be
able to send money out to other Visa accounts.
Inc. is also eager to partake in the new agreement with Visa, allowing
transactions such as birthday money from a mother to her daughter off in
college much easier and faster.
Visa personal payments service is expected to become available by U.S.
financial institutions through both Fiserv and CashEdge Inc. by the
"second half of 2011."
50 years, Visa has worked to simplify payments at the merchant point of sale;
we are now evolving our network capability to make it easier for our account
holders to pay one another," said Jim McCarthy, global head of products at
Visa. "Through our agreements with Fiserv and CashEdge, we can accelerate
the delivery of new and innovative Visa payments services, and better enable
financial institutions to extend these services to customers."
addition to the new personal payments service in the U.S., Visa is also making
some headway in the mobile payment service realm in Europe by experimenting with NFC technology through the iPhone.
Visa conducted a survey in Europe to see how many iPhone users would be willing
to place an attachment onto the phone's dock connector for mobile payments, and
87 percent of 4,100 people were interested in the idea. Payment trials are now
underway for Visa's new NFC technology for the iPhone.