MSE News: Mobile-to-mobile payments start today – but how does Paym work?

Archi_Bald

Pincher wrote: »

So, if I have £3,000 in my account, and somebody pays me
-£1,000 , my account will become £2,000.

Can I have some of what you are drinking/smoking? Sounds potent stuff.

john1002

anyone know if the co op will be getting the service, no mention in the news story? or timescale?

thanks

john

notexpert_2

But how does it actually *work* behind the scenes?

Is there one massive database which maps from "mobile phone number" to "personal name AND bank AND sort code AND account number" ? That would represent a massive potential privacy issue.

I hope it's implemented better than that, does anyone know the details of how it works?

happenstance

All it is is linking phone number to a bank account.

Sounds more trouble than its worth.

Bring on cryptocurencies.

Pincher

http://www.rotherhamadvertiser.co.uk/news/96127/rotherham-phone-scam-gang-face-jail.aspx

This is not a paym scam, but could easily have been. You and Yours (BBC Radio 4) did a feature on this scam, on 14th April 2014. The call centre recorded Kaleem's voice pretending to be the real owner to get the phone account swapped over to his phones.

With a Paym scam, an interesting scenario is, what if they think the police is on their heels, so they:

1. Think they need a Fall Guy.

2. Randomly choose a number with a Paym registration, which happens to be mine.

3. Transfer money from a few victim accounts into MY account.

4. Eventually, the police knock on my door, and arrest me for receiving proceeds of fraud.

As far as the police is concerned, I'm an accessory who agreed to process the money.

innovate

So has anyone got an answer to MSE's question yet - "how does Paym work?"

innovate

Pincher wrote: »

[URL]

With a Paym scam, an interesting scenario is, what if they think the police is on their heels, so they:

1. Think they need a Fall Guy.

2. Randomly choose a number with a Paym registration, which happens to be mine.

3. Transfer money from a few victim accounts into MY account.

4. Eventually, the police knock on my door, and arrest me for receiving proceeds of fraud.

As far as the police is concerned, I'm an accessory who agreed to process the money.[/url]

No police would ever be knocking on your door if you reported unexpected payments to your bank, as they appear, and in writing.

If you did get police calling and couldn't show your written rejections of the unexpected payments, the police investigation would be warranted.

Though most likely you would have just had your account closed, with nobody knocking on your door about it, and without anyone ever telling you why your account had been closed.

Wee_Fifer

Just a wee update. i've found with Santander that currently PAYM only works with personal banking, if you have a business account you can receive payments by paym once phone is registered, but you cant pay someone from it using paym. Might be the same for other business users.

mattdickinson

There seem to be two approachs to implementing sending PAYM;

i) Lloyds/TSB/Halifax/BOS: through desktop internet banking and a mobile app that basically uses that.

pros: can send PAYM from desktop or mobile
cons: can't access mobile address book; have to go through security to set up a new PAYM payee

ii) HSBC/Santander/Barclays: through a secure mobile app

pros: can access mobile address book; don't have to go through added security

cons: can't send from desktop

not sure about Cumberland or Danske....

50Twuncle

This system is open to attack - you give it 6 months and the scams will start to shut the system down ...