eCash

Junaid Zamir (SP10-mm-0040)

eCash - eBanking

Agenda

• Overview

• Credit / Debit cards

• Eletronic Funds Tranfer (ETF)

• Eletronic Cheques

• Cash cards

• E-Banking

• ePayment Platforms Pakistan

• Main Factors / Concerns

eCash - eBanking

What is e-cash

• Use of electronic means to convert current cash transactions.

eCash - eBanking

ePayment ePayment InstrumentsInstruments

• Defined as the medium in which the value is recognised in a payment transaction

• Card-based such as – Credit and charge cards

•buy now, pay later

– Debit cards •buy now, pay now

– Cash cards, stored-valued, e-cash •buy now, prepaid or pay before

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eCash - eBanking

Credit Cards

• Buy now, pay later • Credit card provides a card

holder credit to make purchase up to amount fixed by a card issuer.

• In B2C business, it continues to be the most used form of payment system given its high convenience.

eCash - eBanking

Credit card

• Entities that involve in the credit card payment system include

- Card holder- Merchant (seller)- Card Issuer (Your bank)

- Acquirer (merchant’s financial institution- Card Association (Visa, Master Card etc)- Third party processor

eCash - eBanking

Debit CardsDebit Cards

•Direct electronic transfer of account - direct account debiting

•Uses chip/smart eWallets

•Digital signature to secure access

•Connected to eBanking solution

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eCash - eBanking

Electronic Fund Transfer (EFT)

• EFT refers to the paperless act of transmitting money through a computer network

• It is mostly used for Business to business (B2B) commerce where companies doing business together tend to use electronic data interchange (EDI) system to send each other bills and notices of payment

• The payments are made using electronic fund transfer between banks

eCash - eBanking

Electronic Check (E-Check, Digital Check)

• A new electronic version of paper check. E-check is an instruction to a financial institution to pay a given amount of money to the payee.

• It is a specially formatted email message sent over the Internet. It contains as the same information as on paper based check.

• Digital certificate and signature are used to secure the cheque so that the contents are not tampered with

eCash - eBanking

Cash CardCash Card• Payment solution on a proprietary protocol

that allows payment over the Internet

• A digital/virtual wallet with prepaid credit-based/token-based payment system

• Enables low-value electronic payments on the Internet

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eCash - eBanking

ePayment Platforms Pakistan

• Mobilink Genie• UBL Omni• Utility Bill Payments• Easy paisa

eCash - eBanking

eCash - eBanking

Introduction

• Genie is a mobile lifestyle solution, a true value added service offered by Mobilink in collaboration with Inov8. It transforms every mobile phone into a fast, convenient and secure channel for

• Buying products, • Paying for services and • Transferring money through a few clicks of

the mobile handset.

eCash - eBanking

eCash - eBanking

eCash - eBanking

eCash - eBanking

eCash - eBanking

UBL Omni

• UBL comes with up with a different from conventional banking service, Like Telenor EasyPaisaa but UBL Omni supported with all mobile networks service.

• What is UBL Omni :UBL Omni is branchless banking service by UBL, which means user does not have to go to UBL bank branch to avail banking services.

eCash - eBanking

UBL Omni• Account Opening

Cash DepositCash WithdrawalUtility Bill PaymentsPrepaid/Postpaid mobile bill paymentDomestic Remittance

• 1. PTCL2. SSGC3. SNGPL4. KESC5. HESCO6. FESCO7. IESCO8. QESCO9. KWSB

eCash - eBanking

eCash - eBanking

Easy PaisaEasy Paisa

• Telenor Pakistan has partnered with Tameer Micro Finance Bank to introduce branchless banking for the first time in Pakistan.

• Easypaisa is not just limited to Telenor subscribers; it’s available for all mobile users. In fact people without mobile phones can equally enjoy our products. So now everyone can use our services from anywhere and anytime.

eCash - eBanking

eCash - eBanking

ePayment SolutionsePayment Solutions

• Must provide security: resistance to fraud and online attacks

• Reliable: highly available and accessible at all times

• Cost effective: cost per transaction should be low even for micro-payment

• Integrated and scaleable: interoperable amongst different systems, payment methods and multiple servers distributed across the Internet

• Convenient and easy to use: should support several devices

• Anonymity: should protect the identities of parties to the transactions and should not monitor the sources of finance

eCash - eBanking

Main factors when selecting e-payment method

• The ability to provide security against fraudulent activity

• Being cost effective for low value transaction fees

• Being protective of the privacy of the users• Easy to use, and being convenient for

purchasing on the web based e-business

eCash - eBanking

Advantages and Disadvantages of Electronic

Cash• Advantages

– More efficient, eventually meaning lower prices

– Lower transaction costs– Anybody can use it, unlike credit cards,

and does not require special authorization

eCash - eBanking

Advantages and Disadvantages of Electronic

Cash• Disadvantages

– Tax trail non-existent, like regular cash– Money laundering– Susceptible to forgery