THOSE dining out with friends and family and struggling with the pain of splitting the bill, or trying to pay a tradie without the right amount of cash, are slowly catching on to the newest way to pay.

The New Payments Platform was rolled out in February allowing banking customers to move money to another person using their mobile phone number or email address.

This means transactors can do away with chasing down someone’s BSB and account number or worrying about trying to get the exact amount of cash.

In the five months since its inception 1.6 million Australians have established a new payment identity — otherwise known as a PayID — which allows users to make 24-hour, seven-day-a-week instant transfers.

It has taken months for more than 60 financial institutions to join the NPP — not all are on board yet — enabling customers to make real-time payments via Osko, a person-to-person payment using a customer’s phone banking apps or online login.

NPP Australia’s chief executive officer Adrian Lovney said as long as a customers’ bank is on-board the NPP — all of the Big Four banks have signed up — they can create their PayID and begin moving cash in an instant.

“They can register a PayID, which can be something that’s easy to remember — like your phone number or email address — that can be used instead of a BSB or account number,’’ he said.

“PayID can never be used to take money out of your account, it can only be used to put money into your account.”

Mr Lovney said using a PayID can also help reduce the chance of making a mistaken payment or entering a recipient’s incorrect banking details.

Data from ING shows more than 200,000 customers or 20 per cent of their Orange Everyday account holders have created a PayID.

Latest figures show more than 9.5 million payments worth $5 billion have been sent using Osko and the typical payment size is about $120.

Beyond Bank’s general manager of customer experience Nick May said 25 per cent of their customers have created a PayID and can move money on the spot.

“It’s real-time payments as opposed to having to wait 24 to 48 hours across banks,’’ he said.

“Usually it’s for simple and easy payments to family and friends.”

CREATE A PayID

— Check if your bank offers PayID, using your banking app or website or phoning them.

— Choose what you would like to use as your PayID to link to — it’s usually your phone number, email address or ABN.

— Verify with your bank the information you have used.

— Your PayID can be given to someone instead of your BSB and account number.

— In your bank app it will give you the option to transfer to a bank account or PayID.