A new payment system, soon to be offered in Britain, will simply require the tap of your mobile phone to purchase goods of up to £15, which could potentially eliminate the need to carry cash.
This technology is said to be the biggest change in the payment of goods since the introduction of the credit card 40 years ago. Only 50,000 retail stores currently have the technology available to accept this new payment system, so it will still be considered a trial for the time being.
Who Can Use It…
Initially only Orange network phones will be able to utilise this technology via a mobile application. A Barclaycard, Barclays debit card or Orange credit card must also be owned to use this system. In order for this scheme to work, the mobile phone requires an NFC (Near Field Communications) chip; these are similar to ones used on Oyster cards for London transport. Currently there are only two handsets with this technology in the Orange range – Samsung Tocco Lite and Tocco Quick Tap. However, many rumours are stating that next generation phones like the Apple iPhone 5 and Nexus S will contain NFC chips.
How It Works…
In order to purchase goods, the user simply has to tap their mobile phone on the sensor to authorize the payment. This however has caused some speculation in that if a mobile phone were to be stolen, there would be yet another medium for fraudulent activity. However, due to there being a limit of £100 on the application, the amount of damage that can be done is somewhat limited.
We’re excited to see the introduction of this new payment system and can’t wait to begin using it soon.