Cashless ride

Remember when Chinese business tycoon Jack Ma Yun was here in Manila sometime in October? Not only did he accomplished a lot for a mere day trip but, the founder and executive chairman of the multi-billion online firm Alibaba Group Holdings left an indelible imprint which I’ve included in my wish list – going cashless and a faster Internet connection.

Despite being tops in the list of “texting” and “selfie” nations, ISP (Internet service providers) need improvement for mobile payment usage in the country to be up to speed with some of its regional peers. It serves as a base for e-commerce such as online booking and online purchase.

The Philippines going cashless as a means of settlement is gaining momentum. The use of plastic money – be it credit card, debit, pre-paid, or reloadable card – is getting some traction as reflected by the increasing number of retail companies cobranding with banks.

Metropolitan Bank and Trust Co. (Metrobank), tagged as the country’s biggest universal bank, has taken this step by co-branding with Victory Liner to offer a re-loadable card to commuters.

Powered by Visa, Victory Liner unveils today the first loyalty card to its customers. Called the Victory Liner Premiere Prepaid VISA card, this is the only reloadable prepaid card in the Philippines that lets you enjoy travel conveniences such as online ticket booking, a dedicated VIP queue, and discounts from merchants and business establishments in Metro Manila and Luzon.

“This aspirational product was 10 years in the making,” says Marivic H. del Pilar, the bus company’s vice president for treasury and marketing. The EMV card is reasonably priced at P300 with a free load of P50. A traveller can buy the card over-the-counter (OTC) at Victory Liner bus terminals. Upon purchase, the customer is, however, required to register basic personal details. After registration, the card is activated and can be used immediately.

EMV - for Europay, MasterCard, and Visa- is a global standard for credit card that uses computer chips to authenticate transactions. Bangko Sentral ng Pilipinas (BSP) has required all banks to replace old ATM, credit, debit, and pre-paid cards with new ones with an EMV chip. Banks have until the end of the year to comply.

Aside from using it to buy tickets OTC or online booking, cardholders can use it to do in-store and online purchases just like a regular credit card. As a sweetener, cardholders can enjoy huge discounts with partner establishments of Victory Liner, like the Microtel chain of hotels in Luzon and Palawan.

Loading is easy as well. It can be done in several merchandising outlets, including SM, Robinsons, National Bookstore, Waltermart, Family Mart and San Mig Food Avenue. A bit of caution, though. To discourage any attempt to use it as an avenue for money laundering and in compliance with the conditions of the BSP, a cap or a maximum amount of only P10,000 can be loaded in the pre-paid card.

Co-branding is a “win-win” proposition for both Victory and Metrobank. “We offer convenience to the riding public, particularly during special occasions and long weekends. And for Metrobank, it’s a means of penetrating the mass market,” says Ms. Del Pilar.

Talkback to me at sionil731@ gmail.com