Samsung Pay is an electronic wallet service. It was developed by the global electronic giant Samsung Electronics Co. It is expected that this feature can tighten its grip over the widespread market of local payment.
As per sources of the finance industry on Sunday, 4 Korean banks, which include Shinhan Bank, KB Kookmin Bank, Industrial Bank of Korea and Nonghyup Bank, have plans to provide this digital wallet services with Samsung Pay when the new flagship Best Buy Galaxy S7 makes public debut on March 11. Once these four major banks join hands with the giant Samsung for mobile payment platform, clients of five local banking organizations would also be able to use different mobile transaction services with the help of Samsung Pay such as KEB Hana Bank, Woori Bank, and many more commercial banks in Korea.
Bank services can use Samsung Pay, the digital wallet, to allow Samsung mobile users to pay for any type of purchase without any magnetic stripe cards. This service can be availed through Woori Bank only at present as it entered into an agreement with Samsung for mobile payment services in August 2015. Since the contract is going to expire next month, other local banks may offer their electronic wallet platforms with Samsung Pay.
Among all the local banks entering into a partnership with Samsung Pay, IBK is the most aggressive in making Samsung Pay-based financial services in the next half of this year. Shinhan Bank and KB Kookmin Bank have plans to offer some cash withdrawal facility with deposit services initially while Nonghyup is going to provide only mobile payment service as of now.
At home, there’s been a rapid rise in the number of Samsung Pay users that has prompted most of the local bans to form an association with Samsung Pay. Within a span of six months since this facility was introduced, over 5 million people have already registered with this mobile payment service and it has accumulated transaction exceeding $ 500 million.