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Data for today’s episode is provided by Mercator Advisory Group’s viewpoint – Ready or Not, U.S. Contactless Debit Card Issuance Takes Off.
There were 4 good reasons banks wouldn’t issue contactless debit:
- Not all merchants are currently accepting contactless transactions
- Consumers aren’t demanding tap-and-go technology
- It’s unlikely consumers would switch banks to get a contactless card
- Contactless debit cards are expensive for issuers to produce
But several large banks have announced they’re replacing existing debit cards with dual interface cards, including:
- Bank of America
- JP Morgan Chase
- Wells Fargo
In addition, several others have signaled they will too:
- Commerce Bank
- HSBC
- KeyBank
- Santander
- TD
About the viewpoint
Several issuers have announced their intentions to issue dual interface cards, ushering in contactless transactions at the point-of sale for debit cardholders.
As cards issued during the migration to EMV chip cards are now being re-issued to accountholders, financial institutions are moving to contactless, even if the acceptance market isn’t quite ready.
Several issuers have announced their intentions to issue dual interface cards, ushering in contactless transactions at the point-of sale for debit cardholders. As cards issued during the migration to EMV chip cards are now being re-issued to accountholders, financial institutions are moving to contactless, even if the acceptance market isn’t quite ready.
