Grab to Launch a Mastercard Prepaid Card

GrabPay was launched mid-2016, since then the ridesharing platform added several features to their wallet, including micro-credit offers and insurance policies for their mobile payment app users. They now introduce a prepaid card in partnership with Mastercard.

The ridesharing app used to enable its users to pay for their rides, carry out P2P transactions and even pay at some partner stores.

A new partnership sees it making room for prepaid card applications in-app. A virtual card is then generated and added to the user’s wallet, enabling him to pay online. Grab will also propose NFC and EMV-compliant plastic cards for use at Mastercard-affiliated merchants. Customers may reload this means of payment with companies and car drivers where GrabPay services are featured.

This card is expected to launch in H1 2019. It will first be available in Singapore and in The Philippines prior to addressing Grab’s entire network.

Comments – Additional services for fragile customers

Grab secured funding from Toyota earlier this year and further enhances their skills and range of products. Their unit for financial services appears successful as more announcements were made: P2P payments, micro-credit and insurance services. The ridesharing company now stresses even higher ambitions, especially when it comes to addressing the payment sector. These new services will help them boost their wallet’s acceptance levels while securing their customers’ loyalty.

Grab also highlights an obvious interest in meeting un(der)banked customers’ needs. According to the World Bank, 71% of the employees in this region are paid in cash, and 30% of these customers don’t have a payment card. Grab addresses these targets with a new prepaid service. Some of their prior launches were also aiming for these customers. For instance, by way of increasing their wallet’s adoption levels, they bought out Kuko: a platform enabling people without a payment card or bank account to purchase articles online.

Through this partnership with Grab, Mastercard gains access to this category of consumers while improving their presence in Asia. Grab’s app has, indeed, been downloaded more than 110 million times.