Spain's Telefonica SA (TEF) and MasterCard (MA) on Wednesday launched a mobile money service in Argentina with an eye on millions of wireless users who don't have a bank account.

Spain's Telefonica SA (TEF) and MasterCard (MA) on Wednesday launched a mobile money service in Argentina with an eye on millions of wireless users who don't have a bank account.

Telefonica and Mastercard plan to eventually offer the service, dubbed Wanda, in a dozen Latin American countries through a 50-50 joint venture.

Wanda is based on a virtual prepaid debit account linked to a cell phone. Argentine users can transfer money between Wanda accounts, buy air time, make purchases at participating stores, and soon will be able to pay bills, Wanda general manager Ramiro Gomez said.