[ad_1]
The UAE’s first paperless direct debit marketplace, Direct Debit Marketplace, has officially launched.
The platform provides a convenient all-in-one solution for payers and merchants to make recurring payments such as: tuition, insurance, rent, gym memberships and any other subscription-based services.
The platform is suitable for organisations that charge recurring fees in any business sector and is bank-agnostic, meaning it does not affect merchants’ relationships with their banking service providers. Direct debits facilitated through the platform are integrated with and regulated by the UAE Central Bank. Payers can also benefit from cancellation control within the terms of their contractual agreement.
Direct Debit is an alumni of the MBRIF Innovation Accelerator Programme, launched by the UAE Ministry of Finance to support innovation across the country.
Commenting on the launch, Fatima Al Naqbi, Chief Innovation Officer at the Ministry of Finance and Representative of MBRIF, said: “Direct debit is a perfect example of providing a marketplace for merchants and payers in the UAE where they can pay low Effectively make recurring payments at a price. Cost. At MBRIF, we will continue to align with the UAE’s vision to foster innovation and support the country’s growth, diversity and excellence.”
Ummair Butt, founder and CEO of Direct Debit System, said: “In the UAE, writing four rent cheques or three tuition cheques is commonplace. Our Direct Debit Marketplace app provides residents and citizens a safe, legal and An alternative to making all recurring payments in one place, preferably monthly.”
Butt added: “Making monthly payments and avoiding quarterly or semi-annual bulk payments means Direct Debit Marketplace can help over 96% of monthly salaried people take control of their finances and get out of debt. This is especially important as rent and tuition account for their wages. 50%+. Our mission is to encourage a monthly direct debit payment culture that pays merchants all ticket items big and small at a very low cost and free to payers.”
“It’s also a great deal for merchants who currently accept payments by credit card or check. For example, a typical credit card payment means the merchant pays 1-3% of the transaction value. With Direct Debit Marketplace, we offer a flat fee regardless of the credit card There is no need to store and process checks, regardless of their bank accounts. The marketplace provides digital reconciliation for all direct debit payments, which means participating merchants can save significant cost, time and human resources as existing staff can be reconciled. Training for business growth.”
Merchants in the UAE can connect the marketplace with their accounting software or use a dashboard. The platform is merchant-driven, which means payers can only make direct debit payments if the biller/merchant bids first. The app requires payers to digitally accept payment proposals before the signing process for direct debit authorizations begins.
The platform integrates with UAEPASS, the UAE’s only secure digital identity. One-time direct debit setup can only be done through UAEPASS, which makes the entire process 100% paperless.
Butt added: “Data security is very important to us and the system is hosted in a data centre in Dubai, the Dubai Pulse. This allows us to comply with DESC (Dubai Electronic Security Centre) standards to place data securely in the world’s best Behind the government firewalls and systems. The direct debit market is the fiat system in the UAE, which means the system is accepted by the national courts. With recent changes in the laws related to checks, paper redundant checks and new paperless digital Direct debits have equal legal importance.”
This new service is sponsored by the National Bank of Fujairah (NBF). Commenting on the development, NBF CEO Vince Cook said: “The introduction of direct debit payments is a very welcome step forward for the UAE banking system. It enables payers and merchants to set up a wide range of business sectors And managing recurring monthly payments just got faster and easier.”
The platform will be fully operational in the fourth quarter of 2022.
[ad_2]
Source link