TARGOBANK (subsidiary of Crédit Mutuel-CIC) and the German telco E-Plus have announced contactless tests to take place starting in the end of July. To begin with, these experiments shall concern the companies’ staff members and rely on MasterCard PayPass stickers (to be placed at the back of the mobile devices).
The amounts of the transactions made using this system are debited from the associated card account (he NFC-based solution stands as an extension of this card). Cardholders receive an SMS each time a transaction is made. Also, this offer does not only apply to E-Plus customers.
Source: TARGOBANK press release
While waiting for a precise and lasting contactless model to prevail,
Germany focuses on card media and other cheaper devices, easier for
customers to comprehend, and ensuring faster adoption. In this case,
stickers have been associated with card media for more convenience.
introduction of contactless payment is planned by August 2012, and
would imply renewing roughly 16 million cards (out of 45 million) by the
end of the year. Stickers have been selected as starters, but they are
only temporary: with time, mobile phones with embedded contactless
technology may be preferred.
This announcement also asserts the
German banking industry’s interest in contactless technologies as
large-scale rollouts are planned in the
Hannover-Braunschweig-Göttingen-Wolfsburg Region –“girogo” project (see
April 2012 Insight).
Several temporary solutions are envisaged to
favour the adoption of contactless payment: Landesbank Berlin for
instance proposes microSD chips NFC and a removable card reader (see
January 2012 Insight).