India’s fintech startup FamPay lets minors, teenagers make online (UPI & P2P) and offline payments without setting up a bank account.
FamPay, a neo-bank will let the teenagers experience cashless convenience with the help of numberless cards – FamCard. FamCard is like a debit card that teenagers can now use to make payments independently, relieving parents of the trouble of giving them hard cash or their own debit/credit card.
FamPay was started midway 2019 by Sambhav Jain and Kush Taneja two engineers from Indian Institute of Technology (IIT) Roorkee. They aim to provide an easy-to-use platform for children below the age of 18 to spend money with adequate supervision of their parents.
FamPay is backed up by the likes of Sequoia, Venture Highway, Global Founders Capital, Y Combinator, and Kunal Shah of Cred. It raised $4.7 Mn in seed funding during March 2020.
With FamPay and its numberless card, minors can make online (UPI & P2P) and offline payments without the need to set up a bank account. Every transaction is protected with device locks like fingerprint, Face ID, pattern lock or PIN. As the FamCard has no numbers, all its information is saved on the FamPay app and there is no need to refer to the physical card to fill in details during online transactions.
Due to this feature, there is absolutely no fear of card information getting disclosed in case the card gets stolen or lost. The card can be blocked on the app itself.
“Months into the pandemic, people have become more cautious with using cash. Digital payments have become the new normal. None of these apps however, gives the pre-banked segment of minors access to digital payments, making them totally dependent on cash or their parents’ cards for the last mile of completing a transaction,” said Sambhav Jain, co-founder, FamPay.
FamPay worked with National Payment Corporation of India (NPCI) to make this ‘first in India’ numberless card.