Holders of an account with Belgium's four major banks can now use the new European mobile payment system, Wero. But despite its international potential, the system is currently of limited use.
This week marked the Belgian launch of the European Payments Initiative (EPI), or Wero. The system is now available on the apps of four major banks in Belgium – Belfius, BNP Paribas Fortis, ING, and CBC/KBC – and aims to facilitate payments across the Eurozone.
Wero users can instantly transfer and receive money for free using a QR code. In addition, Belfius and CBC/KBC customers can send money to contacts saved on their smartphones who are also registered on Wero.
Wero's Belgian launch was organised in collaboration with the Bancontact Payconiq Company (BPC), which operates the digital payment app Payconiq. This system is widely used by individuals and businesses but only works in Belgium. At first Wero and Payconiq will coexist, but Wero will eventually replace Payconiq.
"It will be integrated into the app by several banks, as they have already done with Payconiq," consumer protection organisation Test Achats' spokesperson Laura Clays told The Brussels Times.
Better for users?
Wero works in much the same way as Payconiq: a person's phone number is linked to their bank account, or they can pay via a QR code. This removes the need to share IBAN and bank details to make a payment.
People whose bank has integrated Wero can easily create an account via their banking app using their mobile phone number. Speed is a big advantage with Wero: transactions should be completed within 10 seconds, rather than the two or three days that traditional transfers can take.
Credit: Belga/Thierry Roge
However, these payments are only possible between people with access to Wero. "For now, only certain banks in Germany, France and Belgium are participating," Clays said. The system is expected to be available in the Netherlands and Luxembourg soon.
"For expats, there is a benefit. We will have to wait for more countries to join in, but for Belgians, French and Germans whose banks are participating, it will already make it faster to pay for things like evenings out."
Available in stores
Wero can't be used to pay in shops yet. "For these reasons, Wero's importance is not so significant at the moment," said Clays.
But BPC will soon start distributing Wero to merchants that are using Payconiq. "The technical platform will be upgraded so they can accept Wero payments," BPC's Anouck Deschilder told The Brussels Times. They can then accept Wero payments in their stores without making changes.
"The QR code available to these merchants today (on a sticker or via the Payconiq Go app) will not change, nor will the price they pay for a Payconiq transaction today." The system is expected to be in place by 2026.
Whether Wero will be useful or simplify banking largely depends on the users. "Those who are digitally savvy and have no problems linking their phone number to their bank account will eventually find this convenient. Especially if they regularly need to arrange finances with people abroad."
Others may be worried about having to give their banking app access to telephone contacts, due to the (small) risk of data theft. The fact that transfers can be made without a strong authentication system – users are not systematically asked for a password – may also put some people off.
