MOBILE PAYMENT SYSTEM

Having no time for payments? Lazy go to banks or post office to clear the payments? Now, these problems can be solved by using our mobile phone. It is very easy, simple and efficient as well. This is called as mobile payment system. Mobile payments are payment for goods and services with a mobile device in which money or funds are transferred from payer to receiver via intermediary or directly. Mobile devices include mobile phones, PDAs, etc. It enables consumers to receive and send money using mobile device such as mobile phone, Smartphone, Cellular telephone and personal digital assistant (PDA). With that, consumers no longer need to bring any cash or credit card while travelling; they just need to use their hand phone as their credit card to make the payments. It is more convenient for consumers especially in this fast growing market.

Potential Mobile payment system in Malaysia:
Bank Negara Malaysia sees tremendous promise in mobile telecommunication networks as an electronic payment channel since mobile phones are already in the hands of most Malaysians, with 88% (25 million) of the Malaysian population subscribing to mobile phone services. Moreover, mobile phones are integrated into consumers’ daily lives, so there is potential to develop a robust business model around mobile payments. Mobile payment also acts as an efficient payment mode which can increases operational efficiency, simplicity and convenience at minimal cost for the public.

The strategies to encourage consumers to adopt mobile payment system are:

• provide more payment possibilities, timely access to financial assets and an alternative to cash payments. For example, users can pay the car parking without need to visit the parking metre.
• If the transaction cost of mobile payment included in the price of the purchased items become lower then it will attract more consumers.
• Organize more seminar and campaign about the advantages, benefit and awareness of mobile payment

There are many benefits of Mobile Money system as following:

(1) This system is easy to sell to anyone, anywhere and anytime. The trader can sell goods to customers of other countries and receive payment on time.
(2) It provides safe and secure transaction. The Mobile Mon

ey Payments System is subjected to strict requirements by Bank Negara and certain banks. Therefore, consumers not need to concern about fraud or mistake during the transaction.
(3) The transactions get done almost instantly. Mobile Money guaran

tees those merchants are paid in two working days, whereas other payment systems need more days than that to process it.
(4) Merchants can use multi-methods to request for payments. For example: merchants can choose to pay the payment through the sms, Mobile Money website, online storefront

system, or others. It is easier for merchants to choose which methods are more convenient for them.

Pay your parking using mobile phone

For more information, can click here

Electronic Currency.....

What is meant by Electronic Currency? Electronic currency is also known as electronic money, digital money or electronic cash which exchanged electronically. This can be performed by using internet or network in computer. Electronic currency allows its holder to buy the goods and the services that the vastness of the internet offers. Electronic currency trading mean buying and selling thru this internet money.

Bitpass is a prepaid account that allows you to purchase digital content and services in a couple of clicks. It was founded in December, 2002 and partnered with major technology and financial services companies such as Microsoft, PayPal, the Royal Bank of Scotland and First Data.

Bitpass provides an innovative commerce, loyalty, promotions and commerce that bundles authentication, payment and access control. Bitpass enables a la carte- and subscription-based purchases at any price point. Their products are designed to be easiest way to promote and sell digital content, required very little time or technical expertise to get started. For the content buyer, Bitpass worked like a pre-paid telephone card. The buyer just needs to sign up for the service and put money into an account using a credit card or PayPal. This stored-value amount could be used to purchase digital content or service.

Review on a post on E-tailing from E-commerce blog

Touch 'n Go

Commonly, Touch ‘n Go card is used by Malaysian for toll payment of using toll expressway and highway operators as the sole electronic payment system (EPS). But nowadays, there are many usefulness of Touch ‘n Go card. The card can be categorized into 4 types: prepaid card (standard card), postpaid card (Fleet Xs card- mainly used for toll fare payment, Biz Xs card- mainly purposed for corporate used), Auto-reload card (Zing card- link to Visa and Mastercard) and multi-purpose card (Mykad-identity card as e-purse). SmartTag works in combination with this card to allow user conveniently to pay toll. By using SmartTag, the payment transaction become fast and thus avoids traffic jam. Start from May, 2008, Touch ‘n Go Sdn Bhd was offering motorists a personal accident (PA) insurance policy worth RM10, 000 and hospital reimbursement worth RM2, 000.

Apart from that, we can use Touch ‘n Go card to buy fast food stall for our favorite burger or doughnut. Customers no need to bring so much cash in hand however; cash can be replaced by a credit card sized which made of plastic. Customers no need to find parking lots and just need to drive through the service counter and immediately will get their orders. Besides, Users can easily reload their Touch ‘n Go card at Maybank Kawanku ATMs which located in various Maybank branches, shopping malls, petrol stations, LRT stations, 7-Eleven and McDonald’s outlets nationwide. Users can also check their balance via Kawanku ATM. Want to know more about Touch ‘n Go card? Please check Touch 'n Go website.

Shopping with a credit card is better than shopping with a bundle of cash. Do you agree?

Bring along lots of money when shopping is very risky as money will be stolen or lost. However, shopping with credit card do not seems to be perfect. In 22 June 2008, it is reported in The Star that more than 6000 credit card holders declared bankrupt. One of the reason is they "swap" their credit card without control until over limit.

Heard about pre-paid cash card before?
It functions like a credit card and enable users to purchase something with a card instead of cash. However, there is a big different between credit card and pre-paid cash card. Prepaid cash card allows the users to spend only the amount preloaded and no overdraft is allowed. With this special feature, it can prevent the card holders run into debt.


In Hong Kong, there is a card called "octopus card" or more commonly known as "Baat Daaht Tùng, 八達通". It is a pre-paid cash card launched since 1997. Users need to preload an amount in order to use the "octopus card" to make payment. Hongkies can use the card to make many kinds of payment. "Octopus card" can be used for transport payment, shopping, and parking. Besides, users can also use it to make payment at fast-food restaurant. With "octopus card", there is impossible for users go overdraft
as they can only spend the amount preloaded.


In Malaysia, many of us use "Touch 'n Go" to pay for toll and parking in shopping mall. We also use it when travel by public transport such as Rapid KL and KTM Komuter. "Touch 'n Go" also considered as a type of pre-paid cash card as we need to preload money into the card before we can actually use the card to perform transactions.

In conclusion, instead of taking high risk of bringing lots money when shopping and having a high possibility to go bankrupt with credit card, pre-paid cash card is highly recommended. Some of the banks in Malaysia are offering pre-paid cash card such as "Impian Unembossed MasterCard" introduced by Eon Bank Group.

Causes and Preventions of credit card debts

“ Wao! The dress is nice. I would like to have one. But I do not have enough cash to pay for it. It is expensive!”
“It’s OK dear. I have credit card with me. I can pay for it. Here you are.”

It’s a conversation between couple and it reflects a true situation of consumers’ purchasing behavior nowadays. The usage of credit card has been common in the society. However, there is another issue arose by the MISUSE of credit card, which is the credit card debt. Some statistic show’s that, even college students are facing credit card debt. This is an unhealthy matter for the society.

The main reason that caused this issue is part of the credit card holders live extravagantly. They can use credit card to purchase whatever they like without having to plan for their budget and knowing how much cash left in their wallet. This is a very dangerous service offered. Most of the people will not be aware that they are spending more than they can earn. Debts will be accumulated from time to time until they become too much to handle if they do not pay the bills in time. Having a credit card in hand makes them more convenient but at the same time, makes them poorer as well as they do not manage their finances effectively.

In order to have a good financial health, few steps should be taken to prevent ourselves to fall into credit card debt.

Manage your finances
First of all, card holders should plan for a budget based on monthly income and needed expenses. As a consumer, we should always be rational and buy only goods that we really need. Always choose the right product at the right price. Besides, we should use the card like cash, not like a credit card. Do not use credit card when it is not needed as we cannot physically feel our charges climbing higher and higher. By practicing this, we could spend our money wisely, avoid extra expenses and at the same time, having some savings.

Limit the credit cards in your wallet
Different credit card comes with different terms and conditions. These terms including vary interest rates, penalties and due dates. Therefore, it is easier to have only one or two cards as it is much easier to remember which card has the lowest rate and make payments on time.

Pay the balance in full and on time
It is recommended to pay the balance in full and do not brought forward the balances. Therefore, we should always ensure that we have sufficient money to pay for the bills before we use the credit card. Furthermore, we can save up money on interest if we could pay before the actual due date. This is because the interest that we pay is calculated based on the average daily balance. Hence, we would only need to pay less interest if we could do so.

By taking these few steps today, card holders’ financial health will have a clean bill of health.