ASEAN Five to Use QR Codes for Banks to Improve Banking Systems

Update:  August 03, 2023
ASEAN Five to Use QR Codes for Banks to Improve Banking Systems

The central banks of five ASEAN members—Thailand, Singapore, Indonesia, Malaysia, and the Philippines—have signed a memorandum of understanding (MoU) on regional cross-border payments between themselves to support MSMEs and migrant workers.

Previously only available between Indonesia and Thailand, the five countries have decided to employ contactless QR code-based payments to speed up transactions as part of the initiatives to deepen economic integration.

The ASEAN QR code demonstrates how QR code technology can assist banks in developing a cutting-edge framework to promote economic recovery, streamline procedures, and improve customer service.

Banks can quickly integrate QR codes for practical, smooth, and safe transactions that guarantee high client satisfaction thanks to highly developed software.

This powerful technology-based tool is unquestionably versatile. In this article, you’ll discover more about how helpful QR codes are for streamlining bank procedures.

How can an advanced QR code generator improve the banking experience?

Bank QR codeBanks can use a QR code to eliminate the tedious procedures and manual transactions of traditional banking that might turn away customers.

Due to the widespread acceptance and use of QR codes among stores and customers globally and the rise in smartphone and Internet usage, market analysts are generally optimistic about the future expansion of the QR code payment method.

According to new research by Juniper Research, global QR code payments will account for more than USD 3 trillion by 2025, up from USD 2.4 trillion this year.

The banking industry can take advantage of the benefits of QR codes beyond payments alone and instead give their clients a seamless and easy overall banking experience. 

This technology is even more practical because customers only need their smartphones to scan QR codes and access information.

Different uses of QR codes in banks

Bank transactions thru QR code

Digitalized transactions

QR codes eliminate the hassle of manually filling out paper forms for bank transactions, including deposits, withdrawals, and loan applications.

Banking institutions can create QR codes that point consumers to online digital forms filled out solely with smartphones.

Banks can also incorporate QR codes that direct customers to contact tracing forms to adopt COVID-19 health and safety regulations.

Improved security

Banks can incorporate QR codes to improve encryption and data privacy. This is possible by employing dynamic QR codes to add passwords to each code, making it much safer.

The QR codes can replace one-time passwords (OTPs) in financial transactions. Bank clients can benefit from the convenience of not manually typing their account passwords. 

Transaction monitoring

QR codes, invented initially as a tracking tool, can facilitate a bank’s transaction monitoring system.

Dynamic QR codes provide scan analytics such as the number of scans, location and date/time of each scan, and the device’s operating system.

With these valuable metrics, financial institutions and bank holders can easily detect and monitor the flow of individual banking transactions through the available data.

Identity authentication

To tighten security, firms authenticate the identity of every person entering and leaving their premises.

QR codes can help with this by serving as an identification tracker. The bank administration can generate QR codes for each to speed up the identity verification process.

When scanned with a smartphone, the QR codes display the cardholder’s or employee’s name and send the data to the database.

Firms can employ vCard QR codes for employees and staff to store personnel profiles and identification numbers. But this means they must create a QR code for each person.

This is no problem with a bulk QR code generator. This unique feature allows banks to create multiple QR codes, each with individual data.

Easy process for donations

Banks can provide a safe donation website that people can access by scanning a QR code. Individuals can send money using a credit or debit card, mobile wallet, or both.

With QR codes, a donation is made simpler and easier. Those who want to donate only need to scan the QR code, simplifying the procedure.

Banks around the world that use QR codes

1. Bangladesh Central Bank

In January 2020, Bangladesh Bank introduced its “Bangla QR” with support from the Mutual Trust Bank.

The QR code allows customers with over 15 banks and payment service providers (PSPs) to pay for their purchases by scanning the code with their smartphones.

It also allows retailers to take payments from customers with accounts at participating banks and PSPs.

This interoperable payments system is part of the bank’s “Cashless Bangladesh” initiative to expand its mobile payment service.

2. OCBC Bank

Customers can quickly withdraw cash from any OCBC ATM without using their ATM cards, credit or debit cards, or PINs.

To do this, users must open their OCBC Pay Anyone app to scan a QR code on the ATM screen.

This functionality promotes a contactless ATM transaction, a more hygienic option for users. And on top of that, cardless users can still withdraw cash, which is fantastic.

3. BharatQR

The NPCI, Mastercard, and Visa created an integrated mobile payment system called BharatQR in India. Launched on September 2016, this technology facilitates money transfers.

Leading Indian banks, including the Bank of India and Axis Bank, have begun implementing BharatQR into their workflow and system.

Customers can now use the BharatQR to complete bank transactions and make purchases of commodities.

4. Diebold Nixdorf

Diebold Nixdorf introduced Vynamic Digital Cardless Transaction, enabling users to activate the QR code reader in their mobile banking app.

The new features allow customers to locate themselves by scanning the dynamic QR code on the ATM terminal screen with their current digital banking app.

Users can then quickly confirm the withdrawal or deposit of their funds by scanning the QR code.

Using QR codes has enabled customers to have a “touchless ATM experience,” eliminating the need to touch the ATM’s screen or buttons.

5. Central Bank of Brazil

The Central Bank of Brazil created the PIX payment system—an instant payment platform that facilitates the process of payments and money transfers for faster and smoother transactions.

The system uses a QR code that contains the amount they should pay. Consumers then use their bank’s mobile apps or online banking to pay the PIX before it expires.

Improve banking systems with QR TIGER QR code generator

QR codes have gone far from their initial purpose of tracking automotive parts. Their ability to provide instant access to information makes them a highly suitable tool in the modern world.

The banking industry can benefit from these versatile squares. They can use them to offer fast and secure online transactions to clients accustomed to the convenience of digital advancements.

And with a professional QR code generator such as QR TIGER, financial institutions can guarantee quality service, secure transactions, and smooth operations.

QR TIGER is a GDPR-compliant, ISO 27001-certified software trusted by over 850,000 brands worldwide.

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