Second-ranked mobile operator DTAC is going into traditional financial services through the use of authorised agents in a drive to tap 20 million people who do not use banking services in the country.
Consumers play with mobile phones at a DTAC shop. People without bank accounts can now transfer money and pay utility bills at authorised DTAC agents. KRIT PROMSAKA NA SAKOLNAKORN
The company is spending 500 million baht on upgrading its information technology system and boosting marketing activities to promote its new banking service, said Panthep Nilasinthop, head of the financial services and innovation division of Total Access Communication (DTAC).
Called "Jaew" (cool) financial service, DTAC will allow people without bank accounts to transfer money and pay utility bills at its authorised local agents nationwide.
Agents will conduct financial transactions on behalf of banks in exchange for transaction fees ranging from 30-70 baht each, depending on the amount of money to be transferred.
The maximum transaction is limited to no more than 5,000 baht, and not exceeding 10,000 baht a day.
After the transaction is completed, the company's system will send a confirmation SMS to the transferrer's mobile phone.
The recipient can obtain the transferred money at the agent nearest to their home.
DTAC has over 7,000 agents nationwide.
Target customers are migrant workers and low-income earners.
Mr Panthep said the Jaew service would be available to all people and mobile subscribers, not limited to DTAC customers.
He said the number of authorised agents is expected to be doubled to 14,000 by the end of this year.
Mr Panthep said he believed the number of people without bank accounts in Thailand accounted for 30% of the population, opening up a huge opportunity for DTAC.
DTAC, through its subsidiary Paysbuy Co, is now providing mobile financial services through mobile phones.
"We believe mobile banking services will become one of the key growth engines for us in the near future," he said.
According to the Bank of Thailand, the number of bill payments increased by 21% to 400 million transactions last year in a market worth 7 billion baht.
The total number of financial transactions tallied 700 million in 2014, worth 30 billion baht.