The SZÉP Card has been Hungary’s most popular fringe benefit for years, and by now all three issuers — OTP Bank, K&H and MBH Bank — allow you to pay from your balance with a smartphone or smartwatch alongside the plastic card. Digitalisation does not mean an entirely new product: it makes the very same SZÉP Card available in a more convenient, contactless, electronic form. Since SZÉP Card usage is above average in the summer, now is a good time to review how this works in practice, how the banks’ solutions differ, and what to keep in mind while using it.

What has changed with digitalisation — and what hasn’t?

It is important to be clear: the digital SZÉP Card is not freely spendable money, but the very same benefit with a statutory purpose as before — it is simply also available as a digital means of payment. The scope of use does not widen: the card can still be used primarily at domestic accommodation providers, hospitality venues, and cultural, wellness, recreational and sports services, wherever the provider holds a valid acceptance agreement. Cash cannot be withdrawn in digital form either, and the balance cannot be merged with the money in an everyday bank account. The physical card does not lose its validity through digitalisation: the plastic card remains usable exactly as before.

An important practical consideration is that the upgrade of POS terminals at acceptance points is not yet complete: digital SZÉP Card payments are not possible everywhere, so during a transitional period it is advisable to carry the physical card as well, and to ask before paying whether the given venue supports mobile wallet payments.

How does payment work in practice?

Paying with a digital SZÉP Card works essentially the same way as with a digitalised bank card: once the amount has been entered, you tap your phone or smartwatch on the POS terminal. Since the SZÉP Card has no individual PIN code, the terminal asks for the identifier code belonging to the card’s sub-accounts (commonly known as "pockets"): if the system offers a choice between pockets, enter 1111 for the former accommodation sub-account and 3333 for the Active Hungarians sub-account. If the terminal does not allow this, the transaction is made automatically from the default pocket — typically the former accommodation sub-account.

In terms of security, the digital card is no riskier than digitalising a conventional bank card: paying by phone requires biometric authentication (fingerprint, face recognition) or a passcode, just like any other mobile wallet transaction. In fact, thanks to these protections it is a considerably safer alternative than the plastic-based SZÉP Cards.

Good to know: digital SZÉP Cards are currently suitable only for in-person payments at physical POS terminals, not for online (webshop) transactions — so in food-delivery apps, for example, you still have to enter the plastic card’s details.

OTP: a separate virtual card, for primary cardholders only

At OTP, digitalisation technically differs from the approach of the other two banks: since the existing physical card cannot be digitalised directly, the bank creates an entirely new, free-of-charge virtual card, which the user can then load into their mobile wallet. This can be done through the OTP MobilBank application or the OTP SZÉP kártya app.

An important limitation is that only the primary card can be digitalised for now — secondary cardholders can use the physical plastic card only.

K&H: through the mobile bank, but not for secondary cardholders

The digitalisation process is simple: after logging in to the mobile bank, the SZÉP Card can be found under the "products" and "my cards" menu, where adding it to Apple Wallet or Google Pay can be started with a single tap. Using the service does not require a K&H bank account — a contract for electronically authenticated banking services and an activated K&H mobile bank are sufficient.

The digital SZÉP Card service is currently not available to secondary cardholders here either.

MBH: the existing card goes straight into the wallet – secondary cards included

At MBH Bank there is likewise no need to create a new virtual card: the details of the existing physical SZÉP Card can be added directly to the mobile wallet.

One of the most important distinguishing features of MBH’s solution is that secondary cards can also be digitalised, so family members can make use of the electronic option as well.

What to watch for in everyday use?

  • Carry the physical card too: at least until the upgrade of terminals at acceptance points is complete — digital payment does not work everywhere yet.
  • Ask in advance: if you are unsure whether a given hotel, restaurant or service provider accepts the mobile wallet SZÉP Card.
  • Know your pocket codes: instead of a PIN, these are what let you choose which sub-account to pay from, where the terminal allows it.
  • Not usable abroad: the digital form is no exception to the SZÉP Card rule that the benefit may only be spent in Hungary.
  • Block it immediately if you lose your phone: even though most mobile payment systems require biometric authentication for a transaction.