Visa Taps the Cloud for New Mobile Payment System
Visa today introduced a cloud-based mobile payment system that can be used by retailers and financial institutions to add wave-and-pay functionality to their apps, services, and retail locations. Most mobile payment systems rely on the customer's financial data being stored in a secure chip on the phone, which is then accessed during sales transactions. Visa's new system stores the customer's financial details in its own cloud thanks to Android's Host Card Emulation (HCE) feature. According to Visa, "HCE allows any NFC application on an Android device to emulate a smart card" so the user can make tap-and-go payments. The new system works in conjunction with Visa's existing payWave terminals. Visa is releasing the initial standard for NFC cloud-based mobile payments today, and will add support for QR codes and in-app payments down the road. Visa eventually plans to release an SDK so its clients can write their own cloud-based payment applications. Separately, MasterCard announced a similar HCE-based initiative that it is working on with Capital One in the U.S. and Banco Sabadell in Europe. MasterCard expects to publish its standards by June. Both companies hope to expand the use of smartphones - rather than actual credit cards - to make retail payments.
Android Pay Rings Up Chase In the US
Google today said Chase has agreed to support Android Pay on Android smartphones and other devices. Starting immediately, Chase customers can add their eligible Chase Visa debit/credit card to Android Pay and make tap-and-go payments wherever Android Pay is accepted.
Microsoft Wallet Gains Tap-to-Pay Functionality
Microsoft today updated its Microsoft Wallet app and gave Lumia smartphone owners the ability to make mobile payments at supporting retailers. Windows Mobile has long included a Wallet app, but until today it was reserved for loyalty cards and other retail programs.
Capital One Adds NFC-Based Payments to Android App
Capital One today added tap-and-go mobile payment powers to its Android application, independent of services such as Android Pay or Samsung Pay. Capital One cardholders can add their debit card or credit card to the Capital One Android mobile app and make secure payments anywhere contactless payments are accepted.
Mastercard Adds Retail Mobile Payments to Bank Apps
Android owners will soon be able to use their own mobile banking app — rather than Android Pay or Samsung Pay — to make tap-and-go payments in stores. Mastercard has expanded its Masterpass program to mobile devices so consumers can make contactless payments at various retailers.