RBS plans to pioneer mobile phone debit payments

The Royal Bank of Scotland announces plans to become the first British Bank to pioneer Mobile Phone debit payments in the UK using Maestro PayPass.

Following a successful 'Tap and Go'(tm) Mobile Phone payment, the Royal Bank of Scotland announces plans to trial the service internally at its Headquarters in Edinburgh until the end of 2007 before starting public trials next year.

'Tap and Go' Mobile Phone payments could revolutionise the way people make their day-to-day debit transactions, by providing a fast and convenient way to pay for items up to the value of £10. The participants in the RBS trial will simply have to place their mobile phone on a contactless payment terminal and their transaction will be processed in seconds. This means that people will, for the first time be able to buy everyday goods, such as a coffee or a book without touching their wallet.

Paul Geddes, Chief Executive, Consumer Banking at The Royal Bank of Scotland, says: "RBS was the first bank in Europe to carry out a public Contactless Card debit payment and we have now repeated this feat with a successful Mobile Phone Contactless debit payment at our Headquarters. We decided to trial this payment innovation because we think people will really welcome the speed and convenience of reaching for their mobile phone to make a payment, instead of worrying about whether they have enough loose change in their pocket or locating their wallet. This is yet another example of RBS delivering new and innovative ways for customers to make payments - it's about speed, safety and convenience.

"Mobile phones are playing an increasingly important role in our day to day lives. According to official figures, 80% of UK adults own at least one mobile. As we constantly look for ways to improve customer convenience, we therefore believe that mobile phones will be the next step in the payments evolution.

"What's more, we think that retailers will welcome Mobile Phone Contactless payments because quicker transaction times equals faster moving queues and ultimately happier customers."

Mobile Phone payments use short range, wireless technology called Near Field Communication (NFC) to carry out secure 'Contactless' payments. When the mobile phone is placed in very close proximity to the Contactless terminal, it transmits data from the customer's mobile phone to the retailer's card reader.