… [The Visa] mobile services that allow financial institutions in the US to offer their account holders the ability to monitor account history and balances, transfer funds between accounts
Oh the joys of allowing Visa to push credit transactions on the debit network… if only banks would allow it. As I outlined in previous blogs below, Visa has no traction with the OCT transaction set in the US. Internationally, the opposite is true as emerging market banks have taken on to OCT (receiving funds via Visa debit network), but will not SEND. . Visa’s VMT service is thus stuck.. it can’t serve as a remittance service because sending country banks (US/EU) do not participate. Note from this week’s MA earnings call that Mastercard has partnered with Western Union to address this issue.. a much better approach for cash in.
If you ask Visa for a VMT test account, you are likely to get Bank of the West or some other small bank, with Visa’s promise “it is mandatory and all banks will comply”. It won’t happen.. there are problems with this mandate.. it is after all a debit network (see VMT blog).
What is this announcement.. really?? Visa has put a notification event service on their DPS switch where registered issuers and consumers can receive alerts.. nice of Visa to throw Monitise a bone after they completely messed up their corporate strategy by promising them to make them the “go to market” solution for mobile payments. Monitise is now the “go to” solution for issuers looking for a 3rd party service to check your balance.. or get an alert.
Also… if there were 2 banks that supported VMT I’m sure I could transfer funds with the service as well. Visa… please give us the list of banks that support it.. a demo.. we are all dying to see your progress.