Mobile carrier billing (or as it is also called mobile billing) is an alternative payment method that allows users to pay for purchases using phone bills instead of using the traditional banking methods like credit cards and debit cards, bank transfers and cash. This type of billing has been established long before smartphones became popular but is still popular because of its convenience, security and flexibility. Mobile billing can be easily used by minors or people who don’t want to use their bank account.
There are several methods of how you can use mobile billing:
Using SMS
This option allows users to complete payments using their text messages from a phone or smartphone. Here, two variants of payment are possible:
- Mobile Terminated (MT) SMS Billing
- Mobile Originated (MO) SMS Billing
Using Direct Carrier Billing (DCB)
Here, the users don’t need to either register or log in or send any SMS to checkout. As a rule, direct carrier billing is supported by mobile websites, apps and game platforms. Merchants need to get special clearance from the Central Banks for offering that service.
- Wireless Application Protocol (WAP) Billing
Mobile Airtime Transfer
The mobile carriers own a built-in distribution network for payments collection in a P2P manner. Thus, the credits can be transferred from one user to another using a specific SIM card.
