MFS users of Bangladesh engaged for send money through the MFS platforms. As per Bangladesh report around 85% of total MFS transactions concentrated among cash in, cash out and send. While by nature there are three transactions, in real utility it represents send money only. A person needs to send money to other – that creates the need for cash in to the wallet. Similarly, the person received money needs the cash and does cash out accordingly. Hereby, if we remove the need for send money both cash in and cash out become irrelevant.
However, in last couple of years, specifically COVID 19 accelerated the growth of other transaction such, bills pay, merchant payment etc. through MFS. The major players of MFS in Bangladesh trying to push the boundary and bring more users under payment service umbrella. Being on of the fastest growing MFS provider, upay is trying to create a positive impact on market using its parent bank. upay co-branded prepaid card in collaboration with UCB is the example of such initiatives.
Being the part of country’s on of the largest bank UCB, upay launched country’s first MFS co-branded prepaid card for MFS users of Bangladesh. Though prepaid card is not new in Bangladesh, what upay does is unique of its own way. The usability of prepaid card depends on fund availability like a debit card. While, credit cards are more like approved loan by a financial institution. But having a bank card not everybody’s cup of tree! Here upay come up with a different approach to offer prepaid card to MFS Users.
MFS wallet itself a prepaid instrument, which means having money in wallet is the core capability for users to do transactions. Then why and how another prepaid instrument like prepaid card is poised to be meaningful value proposition? Well, the answer lies on multiple aspects and use case analysis. Before drive into the use case analysis let us have a look the target segments of the cards.
Target Customer Segments
The upay Prepaid Card is aimed at a broad segment of the Bangladeshi population, with a particular focus on:
- Unbanked and Underbanked Individuals: Many people in rural and low-income areas do not have access to traditional bank accounts or credit cards. The upay Prepaid Card allows these individuals to participate in the digital economy and manage their finances more effectively.
- Young Adults and Students: With its ease of use and lack of credit requirements, the prepaid card is ideal for young adults and students who may not have established credit histories but need access to modern payment methods.
- Freelancers: A large number of freelancers are actively working on marketplaces. A per Govt. statistics there are around 650,000 freelancers engaged in marketplace based freelancing works. upay is targeting this base with prepaid card that address specific need of the segment.
- Small Business Owners: Small and medium-sized businesses (SMEs) can benefit from using the upay Prepaid Card for managing payments, accessing funds, and withdrawing cash for business operations.
- Frequent Travelers: The card’s integration with the Visa network and ability to handle international transactions makes it a useful tool for frequent travelers who need to make payments or withdraw money abroad.
Use Cases of upay Prepaid Card
The upay Prepaid Card is designed to serve a variety of use cases particularly for MFS customers. Digital application (no paper or branch visit required) and dual currency option, makes the card a versatile tool for financial transactions in both digital and physical settings. The use views of upay prepaid card use cases articulated below –
1. Wider ATM Cash Out Facilities for upay Users: upay user can cash out from ATM directly. But upay ATM cash out is currently limited to locally and UCB ATMs only. Through the prepaid card, now users can cash out from any VISA ATMs globally. The ATM cash out charge remain same but it ensures wider access to ATMs for its customers.
Impact: Reduces dependency on UCB ATMs or upay agent in case of urgent cash out. Furthermore, it facilitates greater ATM cashout with card compared to MFS cash out limits.
2. Foreign Currency Transaction: upay users can do local transactions using upay. But with prepaid card, the scope of upay becomes global. With passport endorsement, upay users now can make transactions in any currency digitally and physically.
Impact: Users can make foreign currency transaction without having a credit card, which required credit approval. It makes the suers feel that – my money my control!
3. Digital Marketing Payment: Small business and Facebook entrepreneurs usually depend on third party to promote business in Facebook. It requires additional service charge for availing third party service. Since credit card depend of credit worthiness and transaction record, upay prepaid card is most simple and affordable solution for the same.
Impact: Reduces cost of digital marketing by removing third party service charge. Furthermore, the users can have greater visibility of marketing cost by monitoring currency conversion rate.
4. Subscription Fee Payment: upay prepaid card is useful for subscription payment and marketplace fees of freelancers. Such platform usually saves the card data and deduct fund on cut-off date automatically. In case of credit card, the transaction would be completed, but prepaid card transaction will depend on fund availability. If you want to continue the subscription and can make fund available otherwise, discontinue.
Impact: Your money your control – continue or discontinue the subscription as and when wished to.
5. Domain and Hosting Service Payment: Prepaid card should be used to purchase domains and hosting instead of a credit card. Saving a prepaid card in such service providers’ platform will minimize the risk of fraud impact. If the credentials of your credit card compromised, the fraudsters will have access to your full credit. But, incase of prepaid card, the impact will be limited to available funds only.
Impact: Users will be able to reduce the risk of fund lost by using upay prepaid card. The credit card will open avenue to access full funds if compromised. Someone cannot eliminate the risk but of course can minimize the damage of the risk.
6. Promotions and Offers: upay and UCB run multiple promotions and campaigns for the prepaid card users. The card users can avail discount on shopping in various categories of merchant including but not limited to lifestyle, restaurant and dining, tours and travels, hospitality management, healthcare, eCommerce etc. The offers are both yearlong and occasional.
Impact: Save you hard earned money by using upay prepaid card. You can avail discount by making payment using the card in selected merchant outlets. Enjoy shopping with upay card and happy shopping!
The upay Prepaid Card is a transformative product that offers convenience, security, and accessibility to individuals across Bangladesh, particularly those who are underserved by traditional financial services. By providing a link between mobile money and the global Visa payment network, the prepaid card enables users to manage their finances more efficiently, access cash when needed, and engage with the digital economy.
As the demand for digital financial services continues to grow in Bangladesh, the upay Prepaid Card is poised to play a significant role in advancing financial inclusion and empowering individuals to take control of their financial future.
References:
upay Prepaid Card Product Details
upay Prepaid Card Campaigns
