What is contactless payment?
Contactless payment is a change to the way debit or credit payment is handled when making a purchase. Contactless payment transactions require little to no physical connection between the card and the checkout device. Instead of “swiping” or “inserting” a card, the contactless card or fob is tapped on or held within an inch of a machine that reads the card, with the payment information is sent to the merchant wirelessly. Contactless credit and debit cards include a smart card chip. In the U.S., contactless credit or debit cards or small keychain devices are being issued by a number of financial issuers (American Express, Chase, MBNA, Citibank, HSBC Bank, Keybank, Wells Fargo, Citizens Bank). For additional information on contactless payment, see the Smart Card Alliance Contactless Payments Resources.
Contactless refers to the fact that it is a wireless device. A payment is contactless when you don’t swipe or insert your credit or debit card at the checkout. Instead, you just hold your card up to 10 centimeters away from the payment reader at the register and your payment information is sent wirelessly and processed. This is a faster and more convenient way to pay. Many retailers accept contactless payment including Dairy Queen, Walgreen’s, McDonalds, CVS and Arby’s.
Related Questions
- Does the Standard Card affect the use of other contactless cards like Oyster, bank issued payment cards and security/access cards that are used in many offices?
- Will contactless payment cards be used anywhere other than the traditional, face-toface point-of-sale?
- What makes CardLogix different from other card manufacturers?
