MasterCard Contactless Payments

7th September 2007

Mastercard has launched it's contactless payment technology in the UK. The MasterCard PayPass credit cards allow users to buy items that cost less than £10, simply by passing their credit card in front of a secure reader which uses wireless technology to transmit the payment details from the card to the retailers terminal.

The rollout of the new technology has started this month with a launch focused on selected areas of London including Canary Wharf and will then expand across London and then be followed by a gradual national rollout over the next year.

The "tap and go" payment feature can be added to any MasterCard credit card and HSBC bank and the Royal Bank of Scotland have already signed up to use the new technology. Retailers participating in the scheme include Books Etc, Coffee Republic, Eat, McDonalds and the Science Museum.

Industry estimates suggest that over 5 million contactless cards will be issued by the end of 2008, and that they will be accepted in at least 100,000 merchants nationwide.