Seoul partners with banks and fintech firms for zero-fee payment platform

Park Sae-jin Reporter Posted : 2018-11-07 17:48 Updated : 2018-11-07 17:48
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SEOUL -- The city of Seoul has forged an alliance with banks and financial technology (fintech) firms to take away the burden of transaction fees for small business owners and provide a convenient mobile payment system using existing platforms. 

Seoul introduced the idea of "Zero Pay", a zero-fee direct transaction system that uses existing mobile payment smartphone apps to transfer money from a buyer's account to a seller's to reduce transaction fees. 

Seoul said in a statement Wednesday that 18 banks and 10 fintech firms have pulled together to kick-start the zero-fee payment system. Its full service will begin by the end of this year after developers improved the system. KakaoPay, South Korea's most widely used mobile payment service operator, stayed away as its platform is not compatible with Zero Pay.