Africa Digest News

South Africa is embracing the future of fintech with PayShap Request, a collaborative innovation by BankservAfrica and SARB that enables seamless, real-time money requests.

This innovative service is transforming the nation’s payment landscape, driving financial inclusion, and reducing reliance on cash.

What is PayShap Request?

PayShap Request is the latest enhancement to the PayShap platform, a real-time interbank digital payment system introduced in March 2023.

While the original PayShap service allowed instant payments using bank account details or proxies like cellphone numbers (ShapID), PayShap Request takes it further by enabling users to initiate payment requests instantly through their bank’s digital channels.

Once approved, payments are processed in real time, making transactions faster and more efficient for individuals, businesses, and informal traders.

Key Features of PayShap Request

• Instant Payment Requests: Send payment requests to payers using bank account details or proxies like a ShapID or Business ShapID, with customisable expiry dates.
• Real-Time Processing: Approved requests result in immediate fund transfers, eliminating delays.
• Broad Accessibility: Available through participating banks’ apps, including African Bank, Capitec, Discovery, FNB, Investec, Nedbank, Standard Bank, and TymeBank, with more banks joining in 2025.
• Transaction Limit Increase: The payment cap rose from R3,000 to R50,000 in October 2024, offering flexibility for larger transactions (limits vary by bank).
• ISO 20022 Compliance: Adheres to global financial messaging standards, ensuring secure and data-rich transactions.

READ ALSO:Investec Integrates PayShap with MTN Mobile Money Platform

Why PayShap Requests Matter

South Africa’s payment ecosystem has long been dominated by cash, with 90% of transactions in the informal economy still cash-based.

PayShap Request addresses this by offering a fast, secure, and cost-effective alternative that caters to diverse use cases, from person-to-person (P2P) transfers to person-to-business (P2B) payments.

How PayShap Requests Work

Using PayShap Request is straightforward and user-friendly:

1. Initiate a Request: The requester (individual or business) sends a payment request via their bank’s app, using the payer’s bank account details or a proxy like a ShapID (cellphone number) or Business ShapID.
2. Set Expiry Date: The requester specifies when the request expires, adding flexibility.
3. Payer Approval: The payer receives the request instantly and approves it through their banking app.
4. Instant Settlement: Once approved, funds are transferred in real time, ensuring quick and secure transactions.

This process is accessible through existing banking apps, not a standalone app, ensuring seamless integration with your bank’s digital services.

The Impact of PayShap Requests on South Africa’s Economy

PayShap Request is more than a payment tool; it’s a catalyst for economic transformation. Here’s how it’s reshaping South Africa:

For Individuals

• Convenience: Pay friends, family, or service providers instantly using a cellphone number, without sharing sensitive bank details.
• Affordability: Banks like TymeBank offer PayShap transactions for free, making it accessible to millions.
• Security: The push-payment system ensures recipients control transactions, reducing fraud risks.

For Businesses

• Faster Cash Flow: Real-time payments mean businesses receive funds instantly, improving liquidity.
• Innovation: QR code-based payments and other features are on the horizon, expanding use cases for merchants.
• Inclusivity: Small and informal businesses can now compete in the digital economy, levelling the playing field.

For the Economy

• Digital Transformation: PayShap Request supports the SARB’s Payment Ecosystem Modernisation (PEM) initiative, launched in October 2023, to create a fast, affordable, and inclusive payment system.
• Global Competitiveness: By adopting ISO 20022 standards, PayShap aligns South Africa with global leaders like India’s UPI and Brazil’s Pix, positioning it as a fintech hub.

READ ALSO:Is Pick n Pay About to Change How South Africans Use Mobile?

Why PayShap Request Stands Out

Unlike other payment systems, PayShap Request combines interoperability, affordability, and real-time processing in a way that caters to South Africa’s unique economic landscape.

Its focus on proxies like ShapID simplifies transactions, while its alignment with global standards ensures scalability.

By empowering everyone from informal traders to corporate entities, PayShap Request is paving the way for a cashless, inclusive future.

Looking ahead, BankservAfrica plans to introduce QR code payments and other innovations, further expanding PayShap’s usability.

These developments will likely make digital payments even more accessible, especially for small businesses and informal traders.

Ready to get started? Contact your bank to explore PayShap Request and experience the future of payments today. Let’s move South Africa forward, one instant transaction at a time.

Ronnie Paul is a seasoned writer and analyst with a prolific portfolio of over 1,000 published articles, specialising in fintech, cryptocurrency, climate change, and digital finance at Africa Digest News.