PayPoint has introduced a new scheme to boost retailers’ incomes by offering a nationwide cash payout option to customers of Mobile Phone Xchange, the UK’s leading mobile phone recycling company, through the PayPoint network.

Until now, customers wishing to sell their mobile phone through the various schemes available have only been offered a choice of payment into a bank account, by cheque or as gift vouchers. Under this new scheme, customers of Mobile Phone Xchange can opt to receive a text message bearing a unique number and the value of the payment. The retailer checks the unique number using the PayPoint terminal and hands the cash to the customer. The retailer is then reimbursed by PayPoint within three days.

Mike Igoe, director of retail strategy at PayPoint, said: “This payout method, called CashOut, proved very successful with customers and retailers alike in recent projects with energy providers when we processed rebates, credits and cash payments.

“Customers like the convenience of using a local shop to collect their payment and this generates additional footfall and business for our retailers, with some of the money being spent straightaway in the shop, as well as a healthy transaction fee and reduced banking charges. Adding the mobile delivery channel to CashOut adds a new dimension of speed and convenience that can only broaden the appeal of CashOut.”

Geoff Walters, managing director of Mobile Phone Xchange, commented: “Many companies say they offer ‘cash for your old phone’ but Mobile Phone Xchange is the only company able to deliver on that promise in a manner convenient for customers. For us, cash means cash in hand, usually the same day as we receive your old phone and, in most cases, just a few minutes from where you live or work.”

i-movo, the secure digital voucher specialist, is the technology provider behind CashOut. According to David Tymm, CEO at i-movo, security is key: “There can be no greater vote of confidence in a system than when a retailer takes money out of their till and hands it to the customer. With approaching four million transactions to date, retailers now accept our vouchers with the same confidence with which they have long accepted credit and debit card payments.”