PayID Print

PayID

PayID is here

PayID is a payments addressing service that makes payments simpler because it enables an easy-to-remember identifier to be used instead of a BSB and account number when you want money paid into your account. PayID also gives reassurance because when you pay another person’s PayID, you will see the name of that person you are paying before you send the payment.

PayID and the New Payments Platform

PayID is made possible because of the impending arrival of the New Payments Platform, designed and built by members of Australia’s financial services industry, including the Reserve Bank of Australia and the ‘Big Four’ banks. There is also a large number of additional financial institutions, like building societies, regional and mutual banks and credit unions, that will connect to the Platform. An announcement will be made in coming days about the commencement of the roll-out of payments via the New Payments Platform. Visit www.nppa.com.au for background information.

The problem solved by PayID

Research commissed by the New Payments Platform (the company behind PayID) found that 65 per cent of Australian adults could not confidently recall their bank account and BSB details. Only 23 per cent of younger Australians aged 18-24 years were able to do so. The research also found that 75 per cent of respondants worried about money going to the wrong place when making a payment, due to a user error when inputting details.

The roll-out of PayID

In coming months, participating banks, building societies and credit unions will commence rolling out PayID via their online and mobile banking. The PayID types available to you depend on who you bank with. If your bank, building society or credit union does not initially support all PayID types, or you prefer to use the existing system, you can still make and receive payments using a BSB and account number.

Security

A PayID can only be used to put money into your account, it can’t be used to take money out of your account. PayID payments will be protected by the same high level of security as your internet or mobile banking.

 

  Frequently asked questions

What is Osko?

Osko by BPAY is the first consumer payment service that will roll-out from the New Payments Platform to use the PayID functionality. It’s likely you may see Osko appear in your usual banking app in coming months. You can read more about it here: www.osko.com.au

Do I have to use Osko to use a PayID and vice versa?

It depends on who you bank with. Some financial institutions may require you to choose Osko if you wish to pay a PayID. For other financial institutions, the ability to pay to a PayID will automatically appears as an option within your usual banking app. Overtime we expect other payments products and services to make use of the PayID functionality, so it’s likely you will be able to use your PayID in many places, as well as for Osko payments.

What is a PayID?

A PayID is something easy to remember, like a phone number, email address or an ABN, that you can securely link to your bank, credit union or building society account. Then when you want somebody to transfer funds into your account, you can give them your PayID instead of your BSB and account number.

When will PayID be available?

This month, participating banks, credit unions and building societies will commence contacting consumers letting them know that they can create a PayID within their usual online or mobile banking. Once it’s set up people can start giving their PayID to people who need to pay them. As PayID rolls-out, there may be some people who initially may not be able to pay to PayID, but they can still use a BSB and account number.

How does it work?

Once it’s available, your bank, building society or credit union will contact you inviting you to create a PayID within your usual online or mobile banking app. Once you’ve followed the steps within your banking app to create your PayID, they will then link that to your bank account so it acts like a ‘pointer’ to your account. Then when someone wants to pay you, just give them your PayID. If that person banks with an institution that doesn’t offer PayID yet, they can still pay you using your BSB and account number.

Who will support PayID?

In coming months we expect about 50 banks, credit unions and building societies will offer PayID to their customers, with more joining later in the year. Your bank, credit union or building society will get in touch with you via their official customer channels when it’s time to register your PayID within your usual online or mobile banking app.

When can I start to use PayID?

Your bank, credit union or building society will contact you letting you know that you can create a PayID within your usual banking app. Once it’s set up you can start giving your PayID to people who need to pay you. As PayID rollsout, there may be some people who won’t be able to pay your PayID for a short period of time, but they will still be able to use your BSB and account number. The person paying you may need to check with their financial institution if they can pay your PayID.

What types of PayID can I create?

The PayID types available to you depends on who you bank with, but typically a PayID can be a phone number, an email address, or an Australian Business Number (ABN). If a financial institution does not support all PayID types, customers can still make and receive payments using a BSB and account number. Your participating bank, credit union and building society will be able to tell you the PayID types available to you.

How many accounts can I link my PayID to?

A PayID can only be linked to one account at any given time. However you can have different PayIDs that are linked to different accounts.

How many PayIDs can I create?

You can create as many PayIDs you like, as long as you can prove to your bank, credit union or building society that you are the rightful owner of the information (such as the phone number or email address) you’d like to use as your PayID.

Can I have multiple PayIDs with different financial institutions?

Yes. You can link different PayIDs to different accounts at different financial institutions. You will need to check with those financial institutions which PayID types they support.

Can I have multiple PayIDs linked to the same account number?

Yes, multiple PayIDs types can be linked to the same account. For example you could link an email PayID and a phone number PayID to the same account.

Where can I use my PayID?

Once your PayID has been created you can give it to people or companies that need to pay you. As the PayID service rolls out, the person paying you will need to check with their financial institution if they can pay your PayID yet. If they can’t, they can still use your BSB and account number.

What types of PayIDs will I be able to pay to?

The PayID types you can pay within your usual banking app depends on who you bank with. As the PayID service rolls out most Australian financial institutions will enable payments to be made to phone number PayIDs. Others will enable payments to be made to more types of PayIDs, such as an email address or an ABN. Over time we expect the types of PayIDs you can pay to will increase.

If I want to change banks, what do I do with my PayID?

You can transfer your PayID to another account at a different bank, building society or credit union. Your financial institution will help you do that.

What happens if I need to change my PayID?

Your financial institution will be able to do this for you. You will be required to close any PayIDs you no longer have the authority to use and create a new PayID with your new details. Your bank will be able to help you do this.

Are PayID payments secure?

A PayID can only be used to put money into your account, it can’t be used to take money out of your account. PayID payments can only be made from online and mobile banking apps of participating banks, credit unions and building societies. This means the same high level of security that protects your existing bank accounts payments will also protect PayID payments.

Is it safe to share my PayID with anyone?

When you give a person your PayID, they cannot use it to withdraw money from your account – it can only be used to put money into your account. When they use it in their own participating online or mobile banking app to pay you, the only information they will see is the name you have provided to describe that PayID, such as your own name or the name of your business.

Does PayID replace BSBs and account numbers?

No, PayID does not replace BSBs and account numbers. Rather, a PayID will act like a ‘pointer’ to your BSB and account so you no longer have to remember them. But you can still pay to a person’s BSB and account number if that is what you prefer.

Will BSBs and account numbers disappear?

PayID has not been developed to replace BSBs and account numbers all together. There are no plans to remove BSBs and account numbers from Australia’s banking system.