Cashless payments have a formidable new competitor.

Apple Pay's entry into Vietnam demonstrates the importance and rapid growth of cashless payments.

From August 8th, holders of international credit and debit cards from banks including Vietcombank, MB, Techcombank,ACB , Sacombank, and VPBank can use the Apple Pay app on their iPhones, iPads, and Apple Watches to make direct payments when shopping or using services, instead of their physical bank cards.

According to banks, this is a safer, more secure, and private payment method, as cardholders do not need to hand over their payment card to others or touch physical payment buttons during transactions.

According to a reporter from Nguoi Lao Dong newspaper, Vietnamese users are very excited about the official launch of Apple Pay in Vietnam. Even those with credit cards from banks that haven't yet linked to Apple Pay have tried to connect them but failed. Ms. Thu Phuong (residing in District 3, Ho Chi Minh City) said she hopes her card-issuing bank will soon link with Apple so she can use Apple Pay.

"The arrival of Apple Pay in Vietnam is a very positive sign. This proves that the Vietnamese market is becoming increasingly important to this technology company. I see many people using Samsung Pay for payments very conveniently, while there are many iPhone users in Vietnam but Apple Pay is not yet available. However, Apple needs to expand its payment acceptance points to truly make things convenient for users," said Ms. Thu Phuong.

More and more cashless payment methods are being adopted in the Vietnamese market. Photo: BINH AN

This is not the first time a foreign mobile payment method has entered the Vietnamese market. Before Apple Pay, both Samsung Pay and Google Pay had appeared, but they lacked breakthroughs and were not competitive enough to win over Vietnamese users.

However, with Apple Pay, a representative from a commercial bank believes it could create a new wave, given the large number of Apple device users in Vietnam, especially iPhone users, and the almost absolute trust in the security of these phones.

Ms. Dang Tuyet Dung, Director of Visa Vietnam and Laos, emphasized that the launch of Apple Pay marks a significant milestone in promoting cashless payments in Vietnam.

With the emergence of numerous foreign applications and e-wallets, domestic payment platforms are deploying more new payment methods to meet the needs of both individual users and points of sale or service provider.

Ms. Le Lan Chi, General Director of ZaloPay, said that this e-wallet was "a latecomer" compared to other e-wallets and digital banking applications, with only about 900,000 users in 2019. However, ZaloPay has made a spectacular breakthrough, reaching approximately 11.5 million active accounts and continuously adding new features and services, making it competitive with other applications.

"Recently, we launched the multi-purpose ZaloPay QR code (combining ZaloPay's QR code and VietQR) to help retail stores, businesses, and even large retail brands solve the problem of unifying a single QR code for scanning across all commercial banking and e-wallet applications," said Ms. Nguyen Tran Phuong Ngoc, Marketing Director of ZaloPay.

Ms. Le Lan Chi also stated that ZaloPay may soon implement a cross-border QR code scanning feature, allowing foreign tourists entering Vietnam to scan the multi-purpose QR code from this e-wallet using their own accounts.

Domestic ATMs are not yet supported.

On Apple Vietnam's official website, the company states that when users add credit or debit cards to the Wallet app, the actual card number will not be saved on either the device or Apple's servers.

Instead, a unique set of device accounts will be assigned, encrypted, and securely stored in Secure Element on the customer's device. Simultaneously, each transaction will be authorized via a one-time, dynamic security code.

"Apple does not retain transaction information related to customers. Transactions only occur between the customer, the seller or developer, their bank or card issuer," Apple stated. However, the platform does not yet support domestic ATM cards.

Source: https://nld.com.vn/kinh-te/thanh-toan-khong-tien-mat-co-them-doi-thu-dang-gom-20230808212508164.htm