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ARTICLE

(ML). AI denotes the capacity of machines to execute tasks Use Cases of Voice Based Payments
that typically demand human intelligence. Meanwhile, ML,
In today's fast-paced world, many consumers are adopting
a subset of AI, enables machines to learn from data without
voice commands, including voice-based payments, due to
explicit programming.
their convenience. Mobile payment platforms like Venmo,
Square Cash, and PayPal enable voice-initiated peer-to-peer
Furthermore, voice-based payments leverage natural
transfers. Traditional banks like Wells Fargo are also
language processing (NLP), an AI branch enabling computers
integrating conversational voice interfaces into their mobile
to grasp, communicate in, and generate human languages.
banking apps.
This technology collaborates closely with voice recognition
engines. For instance, voice assistants like Amazon's Alexa
Additionally, shoppers can utilize voice-enabled credit card
or Apple's Siri employ AI-empowered voice recognition tech,
apps to make purchases online or in stores, known as voice
which transforms human speech from analog to digital
shopping. Google partnered with Carrefour France to launch
format. The machine then captures, comprehends,
a voice-activated grocery shopping service, with plans to
interprets, and executes the spoken directives.
expand to 30 more countries. This innovative payment
Consequently, NLP stands as a critical element facilitating
method, developed jointly over three years, allows
the feasibility of voice payments.
customers to connect their bank accounts to Google
Assistant, verbally add items to their cart, and effortlessly
Procedure for Making Voice Payments complete the payment via voice commands.
Establishing a voice payment account bears resemblance to
creating an online wallet. The procedure for setting up a Several banks, such as Barclays and Royal Bank of Canada,
voice payment account closely mirrors that of initiating a among others, have started offering voice-enabled peer-to-
payment through an online wallet. In both instances, the peer payments to their customers. Barclays allows its
user associates their credit card, debit card, or bank account customers to make voice-based payments using Siri, the
particulars with their device. However, in the context of virtual assistant offered as part of Apple Inc.'s operating
voice payments, the user is spared from the need to launch systems. Similarly, Google Assistant allows Google Pay users
an application and manually input payment details. Instead, to make peer-to-peer payments using voice commands.
they instruct their device to execute the payment via voice
command. Reserve Bank of India has recently unveiled a plan for
"conversational" payments, allowing UPI users to make
Upon verbalizing the command, the device accesses the verbal transfer instructions on their phones which will be
payment application and seeks confirmation from the user. processed using AI-based speech recognition. The NPCI, the
To validate the payment, the user can utilize a password, platform for operating retail payments and settlement
facial recognition, or a fingerprint scan. The process
operates conversely as well. For instance, one can instruct
their device to request funds from another individual.

Moreover, voice payments are anticipated to equalize
access to the expanding online payments sector. Individuals
using any type of mobile device, whether it's a basic feature
phone or a smartphone, can conduct transactions using voice
commands through an IVR-equipped call-based payment
system. The process is as straightforward as dialing a phone
number.

This technology also empowers consumers to verify their
account balances and oversee their financial transactions.

28 | 2023 | NOVEMBER | BANKING FINANCE