New Wave of Contactless Payments Speeds Up Earnings

Contactless payments produce a complete new field of payment options for merchants. Contactless payments are quick, easy and pave the way for higher profits. A wise laptop or computer chip, with data and an antenna is embedded into a credit card, debit card or fob. When the card or fob is tapped on a radio frequency reader, the reader sends out a radio signal that activates the card, the information on the card is read and the payment is processed without having a signature for purchases much less than $25.00 with no chargebacks to the merchant.<br><br>Merchants dont want to be concerned about compatibility with their present systems or security stated, Mohamed Khan, President and Founder of ViVOtech, Santa Clara, Calif.-based developer of contactless computer software, transaction management systems and readers.<br><br>We have been operating closely with processors, card issuers and terminal providers to create an open method using the IS0 14443 standard. It makes use of secure encryption technology. The contactless card doesnt leave the buyers hands for that reason it is more secure and theres no skimming of data, assured Kahn who sees contactless as a fantastic opportunity for merchants to improve income. He envisions contactless payments as a replacement for cash because they are quicker, much more handy and expense less due to much less shrinkage and much less labor involved.<br><br>There are two kinds of contactless readers readily available: Peripheral Contactless Readers (PCRs) that plug in to current POS terminals, and Integrated Contactless Readers (ICRs) that replace conventional readers and provide each magnetic-stripe- and contactless-reading capabilities. Merchants can purchase either type of reader. [http://mifarecards.com/categories/Mifare-Card-Readers/ rent acr122t] The PCRs generally cost around $150. Some merchant service providers such as Acies, however, are providing offers competitive plans and free readers with terminals.<br><br>David Robertson, Publisher of The Nilson Report (Carpinteria, Calif.) estimates that there are 12 million contactless cards presently in circulation in the U.S. He predicts that initial contactless successes will be at the brand name retailers and then merchants in the locations where cards are deployed will stick to suit when their customers ask to use their contactless cards.<br><br>Buyers are asking for contactless in the New York Metro area exactly where many cards have been dropped, says Oleg Frier CEO and President Acies, Inc, a New York City-headquartered national payment processing and monetary services provider. Other areas where there are substantial contactless readers and cards include Atlanta, Philadelphia, Denver, Dallas and Orlando, says Khan.<br><br>Studies show the speed and added value of contactless payments since normally when someone does not spend with cash the quantity of the transaction increases. Visa trials showed their contactless card transactions had been 25% faster than cash. MasterCard PayPass trials showed an boost in transaction amounts and 12 to 18 second reductions in payment occasions for drive-thru transactions. Aite Group reports that CVS, the drug retailer chain, has located the typical contactless transaction takes 12.5 seconds, versus 26.7 seconds for magnetic-stripe card payments and 33.7 seconds for a money transaction.<br><br>Merchants who have a small time frame to service clients, such as rapidly food restaurants, coffee [http://mifarecards.com/products/Mifare-SDK-(Software-Development-Kit).html mifare development kit] houses, movie theatres, drug shops, convenience retailers and drive-thrus can benefit greatly from contactless payment approaches. McDonalds, AMC Theatres, CVS, Meijer, Duane Reade, Regal Entertainment, Ritz Camera, Arbys, Cold Stone Creamery, Eckerd, Carls Jr., Good Times Burger, KFC, RaceTrac, Subway, Sonic (Drive-In Restaurants) and Walgreens have installed contactless readers. Convenience shops are gearing up to accept contactless payments. [http://mifarecards.com/ mifare key fobs] Contactless readers are being installed in 5,300 7-Eleven shops and 350 Sheetz retailers. WaWa markets is installing over 2000 readers in its 540 stores co-branded with a credit card and loyalty system.<br><br>Card associations are also gung-ho for contactless payments.<br><br>It takes a village to launch a new technology, at Visa, we have an absolute commitment to assure achievement of contactless payments, mentioned Elvira Swanson, Visa spokeswoman. Visa, with four million Visa Contactless cards in circulation, offers collateral supplies, on the web demos, and merchant assistance teams to help educate merchants.<br><br>This is the real thing. Contactless is beyond the chicken and egg idea stage now, when you look at how many financial institutions have produced the decision to offer you contactless and the quantity of national merchants accepting it, mentioned T.J. Sharkey, Vice President, Enterprise Development, U.S. Acceptance, MasterCard International. MasterCard is supporting contactless in a lot of approaches. Merchants who accept contactless payments are listed at the MasterCard Web web site where there are demonstrations on how their Tap N Go, PayPass cards work. Tv commercials illustrating their PayPass cards are airing nationally.<br><br>Banks issuing contactless cards include Citibank, MBNA, HSBC (debit cards), JP Morgan Chase, Key Bank (debit cards) and Citizen.<br><br>There have been many pilot contactless programs in sports stadiums such as San Francisco, Seattle, Baltimore, and Philadelphia. Not too long ago, an additional form element of contactless has been added into the mix, with the trial of NFC (Near Field Communications) contactless payments from cell phones at the Philips Arena in Atlanta. Season ticket holders with Chase-issued Visa credit accounts and Cingular Wireless accounts can make contactless payments by simply holding their Nokia mobile phones equipped with Philips' NFC semiconductor chips and ViVOtech software near 1 of the 150 terminals. NFC is compatible with ISO 1443 readers has other functions such as the potential to transmit a coupon to a reader.<br><br>Contactless payments are the wave of the future and will change the way the planet pays for purchases, Khan said enthusiastically.<br><br>###