‘Prompt’ debit card to be launched soon

THE PROMPT debit card will be launched by National ITMX as soon as the consortium of banks begins expanding electronic data capture devices (EDCs).
“Now, the local debit card, what we call PromptCard, is ready to be issued. Each bank can issue this card when the EDCs are spread out nationwide,” Arak Sutivong, a National ITMX board member, said after a board meeting last Friday that raised questions about the preparation of the scheme.
Arak, who is also a first executive vice president of Siam Commercial Bank, said the local-debit-card scheme was aimed at complying with the Bank of Thailand’s policy of encouraging the use of such cards instead of cash.
Last year, the first local debit card was introduced by TPN Co, which is a 50:50 joint venture of Chinese UnionPay International and Bangkok Bank.
Arak said the PromptCard would support the Kingdom’s transition to a cashless country. 
PromptCard can be used both locally and internationally.
Customers who need to use it internationally can inform the bank issuing the card, then their card will display both the PromptCard logo and that of the international payment service provider.
The Finance Ministry has said it will release by February 27 the list of banks that have been approved to install EDCs at small merchants and state agencies nationwide. However, the banks believe the announcement will come before that date because the first lot of EDCs – 25 per cent of the total 550,000 – must be installed by April.
Arak said PromptPay, a peer-to-peer interbank money-transfer scheme that does not charge a fee for amounts up to Bt5,000, was a good example of the collaboration of banks.

Consortium 
The banks decided to form a consortium to expand the use of EDCs by small merchants so that they can accept both plastic cards and the upcoming PromptCard.
Another collaboration of banks that should follow PromptCard is the pool of “white label” automated teller machines that is under study by the Thai Bankers’ Association. These white labels will advise ATM users that they will not be charged for inter-bank services.
“The collaboration should be seen in terms of bill payment as well, since the market share of banks is only 20-25 per cent, while non-banks, especially counter services, dominate the market.
“Sharing infrastructure will help reduce operating costs and banks will offer lower fees for bill payment to customers, as the public saw from PromptPay and the EDC pool,” he said.
Teeranun Srihong, president of Kasikornbank, said the collaboration of banks must be increased, especially in payments. This will make banks the most cost-efficient channel.