Spain has just equipped itself with its own tool to compete in the mobile payments market. Bizum Pay arrives as a local response to US giants like Apple Pay, Google Pay, Visa and Mastercard, with the promise of simplifying how we pay in shops from our mobile. But what sets it apart from what we already know? Does it really change anything in practice?

What is Bizum Pay and how does it work

Bizum Pay is a mobile payment application that allows you to settle purchases at establishments by holding your phone near the card reader, without needing a physical card or entering a PIN. It works similarly to its international competitors: you unlock the device with your fingerprint or face, hold your phone close and the payment is authorised instantly.

The fundamental difference, according to xataka.com, is that Bizum Pay does not link a virtual card, but your bank account directly. When you pay, you are not using a copy of your debit or credit card on your phone: you are making an immediate transfer between your account and the shop's. The money leaves your bank and reaches the establishment's bank with no intermediaries.

This makes sense if we consider that Bizum, in essence, is a system of transfers between bank accounts. With Bizum Pay, that same concept moves from sending money between friends to in-store payments at shops and bars.

Key difference: traditional Bizum vs. Bizum Pay

Many users confuse both services, but they are different things:

• Traditional Bizum: serves to send money to other people using their phone number. It's the function you know if you've ever quickly transferred money to a friend.
• Bizum Pay: is designed to pay at physical shops via the card reader, replacing the plastic card. It eliminates the need to enter a phone number; everything happens on the establishment's device.

Additionally, Bizum Pay allows you to store tickets, passes and other documents, just like Apple Pay or Google Pay do. And it keeps a record of all your transactions in the form of digital receipts to consult whenever you need.

How to install and configure Bizum Pay on your mobile

The process is straightforward. The application is already available on Google Play (Android) and App Store (iPhone). It installs like any other app.

Once you open Bizum Pay for the first time, you will see an explanatory screen. Swipe to the end and enter the phone number you have linked to Bizum at your bank. The same number you use to receive money from friends. The app will then redirect you to your banking application to complete activation.

Here comes the catch: your bank must have already implemented the service. Right now, 39 banking entities are affiliated, including the main Spanish banks and numerous neobanks, but not all offer this functionality yet. If yours does not support it yet, you will not be able to activate it.

Security and prospects

Bizum Pay maintains the same security standards as other mobile payment applications. The fact that it requires unlocking the device with biometrics (fingerprint or face) before authorising any transaction makes it safer than paying with a physical card that others could use without permission.

With this tool, Spain aims to regain prominence in a sector where payment technology has been dominated by foreign companies. The question that remains is whether Spanish users, already accustomed to Apple Pay and Google Pay, will find sufficient reasons to switch.