How PayMate works

"PayMate is a robust and convenient m-commerce solution, which will provide benefits to all members of the ecosystem, ranging from the operator, to the service provider all the way to the end consumer," says Ajay Adiseshann, Founder & MD, PayMate India Private limited.

At the moment PayMate is restricted to Citibank customers, who would need to sign up for this service with the bank by sending an SMS saying "PayMate" to 2484.

Customers will then be called back and registered for the service following which they can shop pay for products and services availed through Rediff, Naukri, Cleartrip, Jeevansaathi and 99Acres. Once the product has been selected, the user needs to send a single SMS with a pin provided by Citibank to confirm the transaction. "We are in talks with several other service providers thereby giving customers'' greater options, says Adiseshann."

On receiving this SMS, the bank will verify the user''s mobile number with the account and on confirmation will debit the account accordingly. The merchant and the customer will receive a confirmation message from the bank approving the transaction. The entire transaction takes place at the cost of a single premium SMS.

PayMate''s features
	PayMate allows mobile subscribers to make payments for merchant services using their cell phones. It is connected to merchants and banks to enable transactions.
	It does not require any additional software or mobile SIM upgrade to process transactions.
	The service is available on any basic entry-level SMS-enabled mobile phone to transact.
	PayMate allows for a transaction to be completed with a single SMS (one click) technology.
	It is the only solution, which allows for both credit and debit card transactions using a mobile phone.
	Users are not required to disclose banking information.
	Offers safe and secure transactions as the platform does not operate over the public domain unlike the internet but over a secure signaling system.

According to Vijay Ramchandran, country marketing director and head internet banking, Citibank India, "With increasing penetration of mobile phones, mobile commerce is set for tremendous growth over the coming years. The key elements for success are speed of transactions and security. With this service customers can conveniently make routine purchases using their mobile phone itself."

PayMate is said to offer a secure payment solution as no credit / debit card information needs to be disclosed during the transaction process. The "trust" model is based on the recommendations by Ernst & Young; which provides the security measures for both the bank as well as the customer.