What is direct carrier billing: everything you need to know

The practice of using mobile phones for simple tasks is very popular now and continues to gain momentum, along with DCB technology. It is a modern payment method that facilitates and speeds up online invoicing and payment without compromising the reliability of transactions.

Let's discuss carrier billing in more detail - what it is, how it works, and what the pros and cons are. Also, in this article, you will find step-by-step instructions on how to use the method.

What is Direct Carrier Billing

The technology involves direct billing through the mobile operator. This gives the consumer the ability to make payments with funds from a phone account instead of a wallet (such as PayPal) or a credit or debit card. Simply put, a person makes a transaction by adding the amount to their phone bills. This option is available not only to smartphone owners but also to users of any mobile gadgets.

How DCB works

Often, consumers confuse this technology with other types of mobile payments, such as wallets or NFCs. The difference is that "Direct Carrier Billing" does not affect the bank's infrastructure when making a transaction. It is also easier and faster than using a bank card, since the user withdraws the required amount from the phone account with one touch of a button. Payment is fixed in the monthly bill (for contract customers) or funds are withdrawn directly from the balance (for those who pay on the go).
Direct carrier billing comes in two types: one-time payment and recurring (regular) payment. In the first case, the client pays for the product/service online > the amount is added to the phone bill/ charged from the card > the client receives the product or uses the service. In the second, the user registers on the website using a phone number > waits for the service to be activated > regularly pays a certain amount (subscription) from a mobile account/card for access to this service.

Advantages of DCB

On the one hand, direct billing is a technological and reliable tool for companies that want to grow. On the other hand, it is an accessible and consumer-friendly technology. Let's take a closer look at the main advantages that ensure the method's rapid growth in popularity.

Ease of use

Billing simplifies the process of paying for goods/services. The buyer does not install special software, download applications, log into his account, or enter information about himself and payment data (card number, expiration date, etc.).

Maximum availability

Payment is directly linked to your mobile phone bill. Direct carrier billing is available on a tablet, smartphone, or regular mobile phone, even for those who do not have a bank card. Due to this, the technology covers the maximum number of consumers.

Secure payment method

Around the world, DCB is willingly trusted for two reasons:

• no confidential information needs to be shared online to complete a transaction;
• the client's payments are processed by his telecom operator (and the longer a person uses the operator's services, the higher the trust).

Disadvantages and risks of direct carrier billing

The payment technology has several disadvantages. The upper transaction amount may be limited by the operator, as well as the number of payments per day. Also, some digital platforms and sellers do not support direct carrier billing. There is also no compensation mechanism if something goes wrong. Obviously, the technology cannot be used where there is no mobile operator coverage.

DCB PAYMENT GUIDE

The direct billing method is very simple, as evidenced by the 5-step usage guide below.

Step 1: Product selection

A person chooses a service/product on an online platform.

Step 2: Select a payment method

To use the direct carrier billing method, the option "Payment from mobile account" should be clicked from the offered payment options. Then, the user specifies the payment option - one-time or recurring (subscription).

Step 3: Enter the number

Next, the user enters the phone number from which he wants to make a payment and activates payment from the phone balance.

Step 4: Transaction confirmation

The smartphone (or other gadget) should receive an SMS message with a code confirming the payment.

Step 5: Complete the purchase

As a result, the required amount is deducted from the account and at the same time, the person receives a message about the completed transaction.

Why choose direct carrier billing

Direct carrier billing is the most secure method among mobile payments that minimizes the time required to purchase goods and services. It gives companies new opportunities to work in areas where banking is not well developed, helps to increase conversion rates, and contributes to the growth of a loyal audience and profits.

Feel free to implement DCB technology into your business to give your brand access to new markets and prospects. The PayGate employees will be happy to help!