Snapdeal – Launch of TrustPay –New tool to boost ePayments

Snapdeal – Launch of TrustPay –New tool to boost ePayments

Early this month, media was agog with news articles that eBay INC has joined has joined Snapdeal as an investor.

After 3 weeks of such news, one of eBay’s trust tool to keep up consumer interest in its site i.e PaisaPay, was launched in an Indianised avatar i,e TrustPay (note ‘Pay’ is common in both the brand names.

In simple terms, TrustPay works like an escrow agreement. The payment is released to the Seller only when the Buyer conforms the receipt of the goods as per his/her specifications.

The conformation has to be done online at Snapdeal website. Of course, if no such conformation (positive or negative) is made within 7 days of Product Delivery, Snapdeal will assume that all is fine. This clause seems fair; as otherwise, the seller will have to wait for an indefinite period to receive his/her money.

However, TrustPay will work only when physical goods are involved. It is not yet clear, what will be the status of deals booked for services. The major complaints are in the services related deals, as it is very difficult to understand where the mistake lies, the seller or the buyer.

As a Safe ePayments motivator, TrustPay promises to attract more traction to ecommerce sites.  However, in the long run, the Cash On Delivery (COD) option should be withdrawn for true 100% ecommerce. Of course, there is no harm in hybrid models, as long the consumer benefits.

 

Immediate Payment Service – Indian Army Jawans – new converts

Majority of Indian Jawans are stationed away from their families, and on receipt of the monthly salary, the first task is to transfer the amount to their families.

Over the decades, various mechanisms have been evolved to ensure quick withdrawal of salary credits by the jawan family holders.

One such initiative was in September 2010, when the Salary credits to beneficiaries’ accounts were executed via NEFT mode. Thereafter the family members of the Jawans could withdraw the amounts through the Debit Cards held with them. Though this mechanism was quick and efficient, from a Jawans view point, it was not very comfortable, as there was no secrecy with respect to their bank financial transactions.

To overcome this lacuna, SBI along with NPCI recently conducted an IMPS awareness campaign.  The target audience was 400 Jawans of 102 Battalion of RAF stationed at Taloja.

As you are aware, the major benefit of IMPS is the Immediate transfer of amount to the beneficiary accounts, 24*7, 365 days a year.  The other benefit from the Jawans angle is that they can contain to maintain the secrecy of their bank accounts.

This is beginning to spread the joy of Safe ePayments in the Defence fraternity.