KT says payment app makes its subscribers smarter than ever

KT subscribers can now make credit card payments, use discount coupons and collect membership points on a single smartphone app after the carrier released its new smart financial service MoCa yesterday.

MoCa, a compound word of “money” and “card,” encompasses payment, billing and commerce.

The nation’s No. 2 mobile carrier announced the so-called MoCa Alliance at a press conference attended by representatives of various sectors including finance, retail, e-business solutions and telecommunications at its Olleh Square in Gwanghwamun, central Seoul. The alliance is a coalition of over 60 companies including Kookmin Bank, Standard Chartered Bank, Shinhan Card, Hyundai Department Store, E-Bay Korea, Cafe Bene, Homeplus and Kyobo Book Center.

“Through the MoCa service, customers can use and manage coupons, membership points, credit cards, check cards, bank accounts, gift vouchers and electronic money in one app,” said an employee at KT.

Payments are safer as they are made directly from users’ smartphones, minimizing the risk of card or personal information being leaked, KT added.

For this service, two functions called smart composite payment and self security payment have been applied for the first time in the world. The first enables the collection or use of various membership points and coupons at the same time the payment is made. The second has stores verify the authenticity of transactions before they are made by sending information to the users’ phone for approval.

Financial companies can reduce the financial burden associated with dongles and value added networks (VANs) by registering and using already-issued cards and accounts, KT said, adding that they will not need separate mobile credit cards.

The new system can shave up to 90 percent off the time it takes stores to process payments made online and offline, the carrier said. It will also be cheaper for them to manage people’s personal information, save on commission fees and increase sales, it added.

“In order to help customers enjoy a ‘smart’ financial life, KT and domestic representatives of financial, retail and e-business solutions companies have cooperated as partners,” said Pyo Hyun-myung, the president of KT. “KT will help consumers to make smart buys as it aims to lead the world’s smart financial market.”

The MoCa app can be downloaded from Apple’s App Store, Google Play Market and Olleh Market. Subscribers of all three mobile carriers - KT, SK Telecom and LG U+ - can use it.

By Kim Jung-yoon [kjy@joongang.co.kr]