# Pepper / Pepper Pay (by Leumi)

> Source: https://docs.barcoder.ai/docs/wallets/pepper-pay
> research date 2026-05-29 · extracted at 2026-10-03
> Publisher: Barcoder — encyclopedia of QR, barcode and payment-code standards

Specifications:
- [Pepper — official](https://www.pepper.co.il/)

## Supported standards

This wallet supports the following visual-code standards:

- [`pepper-qr`](https://docs.barcoder.ai/docs/standards/pepper-qr)

## Overview

**Pepper** is **Israel's first mobile-only digital bank**, operated by **Bank Leumi le-Israel** <sup>[1][1], [2][2], [Israel report](https://docs.barcoder.ai/docs/payments/IL)</sup>. Launched as **smart + transparent + technological alternative to traditional banking**.

**Pepper Pay** (formerly Pepper Pay; now just **"Pay"**) — sister product that allows **customers from all Israeli banks** to send + receive payments from phone contacts + collect money in groups (P2P functionality).

**Distinctive Pepper positioning** <sup>[3][3]</sup>:
- **Mobile-only banking** — all services through mobile app only.
- **Eliminates traditional banking fees**.
- **24/7 customer support via chat** (except Saturdays + Saturday evenings; Jewish Sabbath observance).
- **Bank Leumi parent** = Israel's second-largest bank (after Bank Hapoalim).

**Pepper services**: Bank-account management + loans + savings deposits + fixed deposits + checkbook + international credit/debit card.

## History

**2017 — Pepper launches by Bank Leumi le-Israel** <sup>[2][2]</sup> as Israel's first mobile-only digital bank.

**2018+ — Pepper Pay** (now "Pay") — cross-bank P2P sister product launches.

**Bank Leumi business-plan target (2017)**: Hundreds of thousands of clients in subsequent years.

**2018-2024 — Continued Israeli adoption** <sup>[1][1]</sup>.

## Ownership & operator

**Operating entity**: **Bank Leumi le-Israel B.M.** (TASE: LUMI) — Israel's second-largest bank.

**Regulators**: **BoI (Bank of Israel)**.

## Technical integration

| Layer | Description |
|---|---|
| **Channels** | Pepper mobile app (iOS + Android; mobile-only banking) + Pay (formerly Pepper Pay) sister cross-bank P2P + Pepper international card |
| **Identifiers** | Phone + email + card number |
| **Account model** | Mobile-only banking (no physical branch interaction) |
| **License** | Bank (Bank Leumi-operated digital banking arm; BoI regulated) |
| **Sub-products** | Pepper (mobile-only banking) + Pay (cross-bank P2P) + Pepper loans + Pepper savings + Pepper fixed deposits + Pepper checkbook + Pepper international card |
| **Distinctive Israeli observance**: 24/7 chat support except Saturdays + Saturday evenings (Sabbath) |

## Users & growth

**Baseline** <sup>[2][2], [4][4]</sup>:
- **Bank Leumi business plan (2017)**: Hundreds of thousands of clients target
- **One of Israel's leading 6 digital banks** (per 2026 comparison)
- **Specific 2025 user numbers**: not publicly disclosed in current available sources

## Use cases

Israeli mobile-only digital banking (Pepper); cross-bank P2P transfers (Pay sister product); Pepper loans + savings + fixed deposits + checkbook + international card; mobile-first banking alternative to traditional Bank Leumi branch interaction.

## Implementations & partners

**Operator**: **Bank Leumi le-Israel B.M.** (TASE: LUMI) — Israel's second-largest bank.

**Major Israeli digital-banking + mobile-payment competitors**:
- **[Bit](https://docs.barcoder.ai/docs/standards/bit)** (Bank Hapoalim P2P + digital wallet; ~3M IL users; #1 Israeli P2P-transfer app)
- **PayBox** (First International Bank of Israel / FIBI P2P)
- **MAX** (MAX It Finance / Discount Investment Corp credit card + payment)
- **One Zero** (Israeli first standalone digital bank with own banking license; 2022 launch)
- **Apple Pay Israel + Google Pay Israel** (Big-Tech rivals)

**Regulators**: **BoI (Bank of Israel)**.

## Fun facts

- **Israel's first mobile-only digital bank** (Bank Leumi launched 2017).
- **Pepper Pay** (now "Pay") — sister cross-bank P2P product allowing all Israeli bank customers to use.
- **Bank Leumi (TASE: LUMI) parent** = Israel's second-largest bank.
- **24/7 chat support** except **Saturdays + Saturday evenings (Sabbath observance)** — distinctive Israeli cultural-religious accommodation.
- **Mobile-only banking** — no physical branch interaction.
- **Eliminates traditional banking fees** — distinctive value proposition vs Israeli incumbent banking.

## Comparison

| Feature | Pepper | [Bit](https://docs.barcoder.ai/docs/standards/bit) (Bank Hapoalim P2P + digital wallet rival) | PayBox (FIBI rival) | One Zero (IL first standalone digital bank) | MAX (MAX It Finance rival) |
|---|---|---|---|---|---|
| Operator | **Bank Leumi le-Israel B.M. (TASE: LUMI; IL's second-largest bank)** | Bank Hapoalim B.M. (TASE: POLI; IL's largest bank) | First International Bank of Israel (FIBI) | One Zero (IL first standalone digital bank with own license) | MAX It Finance / Discount Investment Corp |
| Type | **IL first mobile-only digital bank + Pay cross-bank P2P sister + Pepper loans + savings + fixed deposits + checkbook + international card** | IL #1 P2P payment app + 2024 BoI digital-wallet approval + 4% deposit interest | IL P2P (FIBI-anchored) | IL first standalone digital bank with own license | IL credit card + payment |
| Country | Israel | Israel | Israel | Israel | Israel |
| Distinctive | **Bank Leumi digital arm; mobile-only banking; eliminates traditional fees; 24/7 chat except Sabbath; Pay cross-bank P2P sister** | Israel's first digital wallet (2017); ~3M IL users; cross-bank P2P; Jan 2025 0.6% fee on tx >NIS 25K/year | FIBI-anchored P2P | Israel's first standalone digital bank with own license (2022 launch) | MAX-anchored credit |

## Status

**Active, Israel's first mobile-only digital bank by Bank Leumi** <sup>[1][1], [2][2]</sup>:
- **Bank Leumi le-Israel B.M. (TASE: LUMI)** with Pepper since 2017.
- **Bank Leumi (IL's second-largest bank) digital arm**.
- **Pay (formerly Pepper Pay)** cross-bank P2P sister product.
- **Mobile-only banking + 24/7 chat except Sabbath**.
- **BoI regulated**.

## Sources

[1]: https://en.wikipedia.org/wiki/Pepper_(payment_application) "Pepper (payment application) — Wikipedia"
[2]: https://www.prnewswire.com/news-releases/a-new-way-of-banking-launched-in-israel-pepper-by-leumi-goes-live-630870353.html "Pepper by Leumi goes live — PR Newswire"
[3]: https://www.onesafe.io/blog/digital-banks-in-israel "6 best digital banks in Israel — OneSafe"
[4]: https://www.leumi.co.il/en/Articles/49812 "Pepper press releases — Bank Leumi"
[il-cro]: https://docs.barcoder.ai/docs/payments/IL

- [1] [Pepper (payment application) — Wikipedia][1]
- [2] [Pepper by Leumi goes live — PR Newswire][2]
- [3] [6 best digital banks in Israel — OneSafe][3]
- [4] [Pepper press releases — Bank Leumi][4]
- <sup>[Israel report](https://docs.barcoder.ai/docs/payments/IL)</sup> In-corpus: `reports/countries/IL-israel.md`

## Source

Biography extracted from [pepper-pay.md](https://docs.barcoder.ai/source/wallets/pepper-pay). See `matrix.md` for standards-support matrix if present.