TORONTO -- Now available from the Bank of Montreal (BMO) is Mobile PayPass Tag, a contactless payment technology that allows credit card customers to make purchases at PayPass-enabled vending machines and retail sites. BMO credit card holders affix a sticker to their mobile phones to use the technology.
Consumers tap their mobile phones over PayPass readers at points of sale and the transactions are instantly processed to their BMO credit card accounts. For purchases under $50, no personal identification numbers, swipes or signatures are required.
Through MasterCard's inControl platform, BMO's PayPass tag users can monitor their spending by opting to receive email notifications that report the merchant and location of each PayPass purchase.
The tag and email notification services are free to BMO MasterCard cardholders. PayPass technology is already embedded in more than seven million of BMO MasterCard credit cards. The tag is said to provide added convenience to the consumer of not having to pull their credit cards out of their wallets.
"We know that Canadians' use of cash for smaller-value purchases is based on their desire to get in and out quickly when buying day-to-day items like gas, a lunch or a coffee," said BMO vice-president of payment products David Heatherly. "PayPass is part of the movement toward a 'cashless' society. It's faster and more convenient than cash or debit, which requires a swipe and PIN."
Scott Lapstra, vice-president of emerging payments at MasterCard Canada, added the prevalence of smartphones and expanding PayPass merchant network will make the mobile payment technology popular among Canadians.
MasterCard's tap-and-go PayPass is accepted at more than 19,000 merchant locations in Canada, including vending machines.