Electronics giant Samsung will be launching its new secure payment system, ‘Samsung Pay’ across the country on Wednesday.

Samsung Pay, which allows smartphone users to carry out financial transactions without cash or credit/debit cards will initially be available in top end Galaxy range of phones like S7, S7 edge, Note 5, S6 edge+, A5 (2016), and the A7 (2016). The phones will soon receive Samsung Pay support via a software update.

However, as per reports, the company will introduce the feature in budget smartphones as well to reach out to the masses especially in the wake of demonetisation which has given a major impetus to cashless transactions.

The South Korean tech giant is likely to give stiff challenge to e-wallet mobile apps such as Paytm, FreeCharge etc.

Samsung has partnered with banks like Axis, HDFC, ICICI, SBI, and Standard Chartered for the programme in its initial phase while support for Citibank and American Express will be added soon.

How Samsung Pay works?

Samsung Pay works with both NFC-based mobile payment systems and magnetic stripes and transmits card data to a payment terminal's swipe slot using an electromagnetic field.

According to Samsung with just three steps, a transaction is completed within seconds. These include: swiping up to launch the service, authenticating via PIN or fingerprint and making payments using a compatible phone.