Asda Money is looking at the rise in popularity in contactless credit cards as there are now more than 23m of the cards that need no PIN number to make a payment. You can use a contactless contact card to make a purchase up to the value of £20 and as over £17.7bn worth of annual transactions fall into this category Asda Money’s guide will be beneficial to those who want to know more about the technology that goes into these contactless cards.
How contactless credit cards work
Contactless credit cards use Near Field Communications (NFC) technology to transmit card holders’ details wirelessly, meaning that consumers simply need to tap or wave over the payment terminal to complete a transaction. The purchase amount is then added to the users’ credit card bill as usual.
Where to make a contactless payment
Contactless credit cards can be used anywhere consumers see a PayPass or PayWave symbol. Transport for London has become the latest firm to accept contactless payments, with London bus passengers able to buy tickets using contactless credit or debit cards.
55 major retailers also offer contactless payment facilities in selected stores. These include Boots, Greggs, McDonalds, Pret a Manger, Starbucks and Wilkinsons.
Benefits of contactless credit cards
The advent of contactless credit cards has come in an attempt to make the payment process faster and easier for consumers’ on-the-go; this includes making payments at supermarkets, petrol stations and cinemas amongst others.
As this method of payment becomes more widespread, lengthy queues to purchase everyday items could become a thing of the past.
Contactless credit cards also contain the same security features as CHIP and PIN cards, and although a PIN number is not required for every transaction, card holders will be periodically asked to reinsert their card and enter their PIN as an additional layer of security.
The Asda Money Credit Card now allows consumers to tap and go with contactless payments and offers up to 50 days interest-free credit with a representative 14.9% APR variable, with a simple to complete credit card application