Woolworths' contactless credit card use to boost confidence

Thursday 30 June 2011

Article by Mozo

The introduction of contactless credit cards at Woolworths outlets is set to have a major impact on consumer confidence in the technology, it has been claimed.

Woolworths' use of contactless credit cards 'will boost consumer confidence'

Customers using the swipe-only system will be able to pay for goods valued at up to $100 without entering a PIN or signing.

David Lindberg, cards general manager of the Commonwealth Bank, told the Australian Associated Press that the introduction of the payment method is a similar situation seen during the introduction of online banking.

"One of the big announcements is Woolworths using it in their stores and that is moving the market to a tipping point," he asserted.

Mr Lindberg noted that any fraud that does occur will be covered by financial institutions, which should prompt greater confidence among consumers considering using their credit cards without a PIN.

Despite this assertion, business writer Leon Gettler recently stated in a piece for the Sydney Morning Herald that credit cards are unlikely to be "disappearing soon" even though more firms are introducing contactless payment options.

Have a question about credit cards? Ask the money gurus at Mozo AnswersADNFCR-1761-ID-800603793-ADNFCR

Find great rewards credit card deals

Which type of rewards credit card would you like to compare?

Back to top