MalCOM Limited –Malawi, a newly established owned ICT driven company wholly owned by Malawians, will be introducing an employee charge card which company executives and salaried employees will be using to pay for goods and services with no interest charges.
The Reserve Bank of Malawi (RBM) has authorized the company to translate the concept into a business venture and MalCOM Limited has already received an endorsement from the Consumer Association of Malawi (CAMA), according to Chairman of MalCOM Limited Francis Kajumo.
Kajumo is a graduate of the University of Malawi and is based in Washington DC., where he works as a biomedical research scientist
The card, branded MobiMax Charge Card, will be fully operational once the company has complied with the final requirements of procedures that essentially constitute a pilot program.
Kajumo said in an interview yesterday that employers will be issuing the card to their employees who will be allowed to use credit of up to 30 percent of their salary and shall repay their liabilities through payroll deductions.
“The MobiMax Charge Card will work in such a way that a company can give this card to employees, as a fringe benefit, to use to pay for goods and services, more especially during mid month crises and repay the amount they have used through deduction from their next salary.”
“The card will allow employees to use credit of up to 30 percent of their salaries because we realize that there are sometimes when money is very tight, especially during the lean mid month period and when an employee has a crisis, then the employee can use the charge card as a convenient, safe and secure option instead of borrowing money,” explained Kajumo.
He said the charge card will also work to the advantages of companies in terms of monitoring expenditures. MalCOM Limited shall offer two types of cards; a personal and corporate card and with the corporate card a distinct audit trail allows the company to control expenditures.
The MalCOM administrative software platform ensures security by monitoring and managing credit limits, secure usage, and auditing on real time basis.
“A company can just set a limit for allowances and other expenses for their employees who are going out of station for work and the employees can use the card to buy fuel, pay for accommodation and food and it is easier for a company to monitor and audit transactions through this card,” said Kajumo.
He said the card will attract no interest but will attract transactional fees (similar to ATM charges) and an optional SMS charge if a card holder chooses to subscribe to get SMS whenever the card is used for a transaction.
Kajumo said MalCOM Limited has engaged several retailers and services providers and will provide them their Point of Sale Devices (POS) that will be maintained by the company for the service of MobiMax Charge Card holders.
“We have engaged retailers like supermarkets, service stations and service providers like doctors, pharmacies, hospitals, and utility providers as our anchor customers to spread the MalCOM service footprint,” said Kajumo.
He said the MobiMax Charge Card has numerous advantages because it provides for secure cashless transactions, convenient and reliable since card holders will be using security PINS.
“Corporations can avoid on (dubious and unaccounted for) cash allowances to employees and the card may be used anywhere where a MobiMax device is available and since we will be using GPRS for connectivity to our POS, one will be assured of at least 80 percent MobiMax availability of our POS devices throughout the country,” said Kajumo.
“The country will benefit because there will be reduced costs of managing currency by the Reserve Bank of Malawi since the service will increase cashless transactions,” explained Kajumo.Follow and Subscribe Nyasa TV :