Information and communications technology group Telkom has teamed up with Mastercard, Nedbank and fintech enablement partner Ukheshe Technologies to launch Africa’s first Mastercard virtual card for use on WhatsApp.
The addition of the Mastercard virtual card to digital payments wallet Telkom Pay, which was launched in 2020 to enable users to make and receive payments using WhatsApp on their mobile phone, will unlock a new payments platform for local and global online merchants that accept Mastercard, including Uber and Netflix.
“We are proud to lead the way in launching the first virtual card through WhatsApp on the continent. This ensures greater financial inclusion through affordable products and services that cater to everyone and are easily accessible through a mobile device at any time,” said Telkom Financial Services managing executive Sibusiso Ngwenya.
The initiative will enable consumers to shop using their smartphone and the Telkom Pay application after they create a virtual card on their profile, link it to their digital wallet and transfer funds from their wallet to the card.
To pay for purchases, users receive a virtual prepaid card, including a 16-digit card number, security code and expiry date, which they use to complete an online purchase much like they would with a physical card.
The virtual card solution is safely stored on the Telkom Pay app and customers can temporarily block, cancel or replace their card via the app, providing them with additional security and control.
With South Africans increasingly shopping online, the expansion of Telkom Pay’s services is an important step forward in improving access to the digital economy, as many people are left out as they lack the financial tools needed for e-commerce, added Mastercard South Africa country manager Suzanne Morel.
“This digital-first solution bridges the divide by giving consumers instant access to a virtual payment solution through WhatsApp, without compromising the safety and security of transactions.”
“We are thrilled to assist Telkom in making new, innovative products possible, and look forward to continuing our journey of supporting clients in their efforts to offer cutting-edge payment solutions to people who need them most,” concluded Ukheshe CEO Clayton Hayward.