Google has shared its plans to launch Google Pay digital wallet platform and online payment system in Israel.
According to Haaretz, the company has been undertaking a round of meetings with regulators, bank executives, credit card companies, and financial-technology startups in the country.
Google Pay enables shoppers to pay for goods and services online or in stores with a mobile app. In the US, India, and the UK, Google Pay app is also used for P2P money transfers. In countries like Russia, Japan and Ukraine, it can be used to pay for public transportation.
As Haaretz shows, Google Pay’s entry into Israel comes during a period of turbulence for the Israeli payments and finance sector. Under the Strum law, Bank Hapoalim and Bank Leumi are required to sell off their credit card business, Isracard and Leumi Card. In response, the banks have launched virtual services: Bit service and Pepper (which includes its Pepper Pay app).
Google Pay service is expected to be used on ecommerce sites in a way similar to PayPal. The shopper joins the service by registering credit card details with Google Pay. The customer will be able to pay at all online sites by pressing a single button, without having to repeatedly re-enter credit card details.