Millions of MBNA credit cards to go ‘contactless’
MBNA, Europe's largest credit card lender, has begun a two-year programme to roll out contactless credit cards for its millions of UK customers.
MBNA's commitment means that more than five million MBNA-issued credit cards will have contactless technology by the end of 2011. That is in addition to around ten million contactless enabled credit and debit cards already in the UK market - a total that could rise to 25 million by 2012.
MBNA will support the evolution of contactless payments in the UK by ensuring all new and replacement MBNA credit cards are compliant with the simple-to-use payment function. To use the card, customers simply touch the card at payment terminals that display the contactless symbol, without the need to enter their PIN number.
Ian O'Doherty, Europe Card executive for Bank of America, which operates the MBNA brand, said: "With this two-year roll out of new and replacement contactless enabled cards we are reinforcing our support for the evolution of contactless technology in the UK.
"We are committed to offering simplicity, added value and choice in all of our products and services - enabling our customers to use contactless payments is a fantastic example of making that commitment a reality."
An MBNA survey of more than 1,000 credit card users reveals that the public is overwhelmingly positive about contactless technology and the benefits it gives them - notably speed and ease of use.
Eighty per cent of those surveyed agreed it would help save time in queues when paying for items, and 69 per cent believe the emerging technology will make their lives easier and benefit consumers (63.5 per cent) and businesses (78 per cent).
MBNA has added layers of security to their cards. For example, contactless cards cannot be used until a PIN is entered on first use; payments are limited to up to £15 per transaction; and customers will occasionally be asked to enter their PIN number to ensure the transactions are valid. In addition, MBNA customers who are innocent victims of fraud or theft are fully protected on their credit cards.
Customers do not need to do anything, as their new or replacement cards will be automatically converted to contactless when they are re-issued.
The cards will be compatible with both Mastercard and Visa payment systems.
Pick-up among businesses is gathering pace, with Subway, Prêt a Manger and Caffé Nero, among others, already having the payment terminals installed. A host of big-name retailers are either trialing the technology or rolling it out, including the Co-op, Boots, Spar, National Trust gift shops and Little Chef restaurants. Many more well known retailers are expected to launch contactless technology soon.