Stores can now be incorporated into the CoDi platform
As of September 30, all businesses that sell over the counter, such as small shops and local shops, e-commerce operations and service providers, can implement the modality of Digital Collection (CoDi) through cell phones or mobile devices.
They only have to register at the Bank of Mexico (Banxico), in the section "Requirements to participate in CoDi", where they request an account with a financial institution, as well as an application to generate collection messages, which must be installed on a computer or mobile device and will generate collection messages.
According to Banxico, the application can be provided by the banking institution or an application developer, or use the CoDi Banxico application for this purpose.
The way to collect with CoDi is as follows: the collector who will receive the money for the amount, for the good or service generates a message through his mobile device, while the payer receives and accepts the collection message.
This translates into an electronic transfer, interbank or the same bank, and once the transfer is complete, both the collector and the payer are instantly notified of the payment confirmation.
THE COLLECTION PROCESS STARTS WITH THE QR CODE
"You must leave it in a visible place in your business so that the customer can easily see it. The buyer will open the application on his smartphone, choose the option to pay, enter the amount, then scan the QR code that you placed, confirm the payment and you will have your collection done", according to the Coru platform.
The system, which launched its pilot program last April, aims to encourage payment with mobile devices, which means one of the main federal bets to boost the financial sector and banking adoption rate, reduce the use of cash, and give more transparency to commercial transactions.
Using this payment and collection system will be commission-free for both the customer and the business. The limit of transactions will be eight thousand pesos and the protection of information has been thought to use the fingerprint as an extra security measure, in case of phone theft and unlocking the password of the application.
MICRO-PILOTS TO OPERATE CODI
There are six financial institutions that have started the processes to use the Cobro Digital System (CoDi) of the Bank of Mexico (Banxico), of which only two are already in the process of making movements in real-time.
There are four banks (Banamex, Bancomer, Banorte, and Santander) and two others are regulated financial institutions. Of these, two operate the micro-pilots, because the operations are only being carried out among their employees.
The project is proceeding according to schedule, so that on the last day of September, the operation of CoDi, is mandatory for all banks; through more than three thousand accounts that would operate at the beginning of this platform.
"To be able to operate from the perspective of final clients, a few months must still pass in which the elements are adjusted and it is determined if there are areas of opportunity within the operation of the system." (director Miguel Diaz)
BENEFITS OF THE CODI
With the CoDi payment system, Banxico aims to reach people who do not have a bank account, but a mobile phone with which they can scan a QR code and process payments through the different commercial banks and financial entities.
At least 30 million Mexicans will be able to access products with higher added value such as loans, insurance or investments. After performing the first trial period, the second, which is larger, will begin in the next two or three months.
The messages to request or receive payment are small, so the use of mobile data is very similar to a normal messaging scheme. The preliminary scheme of CoDi is planned from April to September.
The new platform will limit illicit activities such as money laundering, tax evasion and acts of corruption, through the reduction of the use of cash.
In addition to facilitating the dispersion or delivery of social and economic support instrumented by the government; such as scholarships for young people or pensions for the elderly.
"If we consider that the number of people with smartphones, which is twice the number of people who have a bank account, it is very clear that CoDi can have a great impact and incorporate a universe of potential customers into the financial sector". - The governor of the Bank of Mexico (Banxico), Alejandro Díaz de León
The system will have a positive effect for banks: it will streamline payments, reduce costs and maximize the security of its operations; while the user will be able to familiarize himself/herself with the financial system.
HOW CODI WORKS
Use QR codes to make electronic transfers through smartphones every day of the year and at any time, from a bank account.
QR codes will be linked to the user's bank account; will be generated through the mobile application (app) of each bank; they will be authenticated by the Bank of Mexico and will allow the transfer of money without the need for users to have access to codes or account numbers.
It constitutes a platform that functions as an extension of the Interbank Electronic Payment System (SPEI), which is the most important transaction mechanism in the country.
Allows direct transactions from phone to phone; without having to go through any intermediary; with the only condition of having a bank account and being a user of mobile banking.
The system will work through any bank account, regardless of the bank; through a standard platform that will be available to merchants, small shops, service providers and people in general.