American digital payment firm Visa has entered a strategic partnership with Vietnamese fintech company VNPAY to enhance the digital payments experience in Vietnam.

Together, they will make cashless payment more accessible in Vietnam through expanding and strengthening the fintech company’s affiliate network of accepting merchants, as well as rolling out new services including Visa’s Tap to Phone acceptance solution, virtual Visa prepaid cards, fund transfers powered by Visa Direct service, and the Visa Instalment Solution (VIS), Visa said in a statement on Thursday.

“According to Visa’s Consumer Payment Attitudes study 20211, 80 percent of consumers in Vietnam are interested in using mobile contactless payments like tap to phone. Our strategic partnership with VNPAY reinforces Vietnam’s ongoing cashless and digital transition. While bringing VNPAY merchants and users into the highly secure and reliable Visa ecosystem, the implementation of digital capabilities will expand Visa’s network and spur the adoption of contactless payment,” Dang Tuyet Dung, Country Manager of Visa Vietnam and Laos.

VNPAY operates a network of nearly 200,000 locations nationwide, which accepts payment through the VNPAY-POS, VNPAY-QR and VNPAY-QR payment gateway. VNPAY-POS is an “all-in-one” solution, meeting all modern payment needs and assisting merchants in operation, cost optimization and revenue growth. VNPAY-QR is a payment solution that uses QR Code scanning function integrated into 33 mobile banking applications, VNPAY wallet and other 8 e-wallets. This would enable more than 25 million consumers to pay immediately, securely, and easily for their purchases.

The partnership between Visa and VNPAY is an opportunity for each enterprise to utilize the other’s strengths to drive growth while expanding Vietnam’s digital economy.

Moreover, it will bring new and innovative payment solutions to the industry, one of which is Visa Tap to Phone. This innovative payment method transforms Android smartphones or tablets into contactless, software-based point of sale terminals without additional hardware.As a network, Visa plays a role in connecting buyers and sellers, and setting interoperable standards to ensure payments are consistent and convenient.

Visa prepaid cards will be issued virtually and linked to the VNPAY user’s wallet and can be used at both online and physical retailers everywhere Visa is accepted. Contactless payments can be made with a single tap of the phone. The cards can be topped up from the user’s VNPAY wallet or bank account and feature advanced security technologies such as tokenization and Visa Consumer Authentication Service, to ensure transactions are secure.

Visa Direct service is a payment network for peer-to-peer (P2P) transactions that allows VNPAY users to make payments or transfer funds almost instantly from the VNPAY wallet to other Visa cards and bank accounts and vice versa. Visa Instalment Solution enables customers to pay in instalments at in-store checkout.

“Visa is the premier multinational digital payments company. VNPAY believes our strategic partnership with Visa will push digital payments in Vietnam to grow faster than ever, bringing more benefits to our users and merchants. It will also make digital transformation easier for corporates, generating greater and more sustainable growth through smart electronic payment solutions,” said Nguyen Tuan Luong, Vice Chairman of the Board, VNPAY.

Fintechs are transforming the global payments ecosystem at a rapid pace, changing the way people invest, manage money, receive funds, and send real-time payments to friends and family. Given the importance of the fintech community, and Visa’s longstanding commitment to digital payment innovation, the Visa Accelerator Program and Fintech Fast Track Program are parts of a broader Visa strategy to support fintech development globally.

VNPAY is a company in the field of electronic payment in Vietnam. It applies modern and breakthrough technologies to develop a diverse ecosystem of services and utilities, as well as provides superior service experiences to its customers and partners. Regarding finance, banking, information technology, telecommunications as the core business domains, it provides payment services and solutions to thousands of domestic and international enterprises with noticeable services such as VNPAY-POS, VNPAY e-wallet, VNPAY-QR, Mobile Banking, SMS Banking, VnTopup, VnPayBill, VnTicket, VnShop.

Visa is a world leader in digital payments, facilitating transactions between consumers, merchants, financial institutions and government entities across more than 200 countries and territories each year. Its mission is to connect the world through the most innovative, convenient, reliable and secure payments network, enabling individuals, businesses and economies to thrive.

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