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Direct Carrier Billing

lse:bgo

#1

Stupid question - but how does the individual get money on to his mobile phone account to meet the DCB’s?

I thought the idea was that the mobile phone bill effectively replaced a bank account?

Confused

Jake


#2

“how does the individual get money on to his mobile phone account to meet the DCB’s?” etc.

Jake, I’m too mean and lazy to do much shopping so I’m the worst person to answer your question, but I’ll give it a go. I don’t think Bango are targeting people with no bank account, but I’ll start with the unbanked. It’s possible to have a Pay As You Go account where you top up in a newsagent by paying cash and getting a card scanned. I don’t mean a bank card, I mean a card which says which phone is being topped up. Not every newsagent will do it. I don’t know if that’s at all popular in this country, but I suppose they have something like that in countries where many people have a phone and no bank account.

If you buy online with a credit or debit card, you either have to key in card numbers and other stuff every time you buy, or you register your card with a company like Amazon so they know about your card when you check out, having already logged in. If you register, you hope the details aren’t hacked. DCB is easier and probably more secure. From https://www.cm.com/blog/the-8-advantages-of-direct-carrier-billing/ ’ “DCB is the most quick and simple payment method found in the market”, says Cristy Gonzáles Morales, DCB specialist and developer at CM Telecom. This is a one-click payment and there is no need to create an extra account or fill in your bank account number. '. I suppose DCB is easier because the carrier already knows the account it’s carrying. Also, debit cards have fees the merchants have to pay (probably more than the cost of DCB), and credit cardholders have to settle in time to avoid paying interest.

OFF TOPIC - I added some BGO after the Capital Markets Day.