Bump Pay wants to make peer-to-peer mobile payments casual

By April 11, 2012
Keywords : Smart city, America
colorful figurines holding hands around a smartphone

Any iPhone can pay a friend through their PayPal account with this new app. The streamlined product makes casual transactions just a phone bump away.

Bump Labs has entered the mobile payment scene with its newest app, Bump Pay. It lets users transfer money to their friends’ phone immediately, just by bumping their phones against each other. The workflow of the payment app is similar than when using PayPal: two people start up the app, the payer enters the cash value owed, and the two participants move their phones together momentarily. Bump has created a simple, intuitive interface that has the added fun of a digital toasting gesture to each other. The app is consumer-oriented, encouraging friends to settle restaurant bills or other casual purchases with this method that effectively circumvents credit or debit accounts.

Mobile payments require only a bump

While many payment apps connect to a credit or debit card, and bank apps require an account, Bump Pay connects to the user’s PayPal account. In order to use Bump Pay, users simply need to connect the application with their existing PayPal account. There is no fee to transfer money to a friend, but the transfer is immediate and both people need to have the Bump Pay app. Users enter the desired amount they want to transfer, tap their phone with their friend’s phone and confirm the transaction. Bump Pay’s software, unlike NFC, requires the two phones to collide so the two cellphones can identify each other. The app therefore does not allow remote payments.

Peer-to-peer payments need to be casual

The reason for this is that Bump Pay has been focusing on usages and believes that simplicity is the most important feature a peer-to-peer app can have. Other peer-to-peer payment apps are available on the market, and some bank applications allows similar services as well. Bump Pay, however, wants to create a usage that is inherently casual, if limited. This is also why the Pay option was not added directly onto its flagship app – “We decided not to add this to our current offering because we wanted to make it as simple as possible so people understand how this works,” Bump CEO and co-founder David Lieb said.

Legal mentions © L’Atelier BNP Paribas