Capital One has become the first US bank to enable NFC payment capability within its own mobile app to allow customers to pay at any contactless terminal using their mobile device.
The service makes use of the MasterCard Digital Enablement Service (MDES) and Visa Token Service (VTS) platforms and works on phones running Android 4.4 or higher. The service is believed to use host card emulation (HCE) but NFC World has not yet received confirmation from Capital One.
“This mobile payments solution comes as an update to the Capital One Wallet app, which is designed to help customers stay on top of their spending and get the most from their credit card rewards,” the financial institution says. “Capital One customers are able to use their credit and debit cards directly from their phones to make contactless payments for purchases at many of their favourite retailers.
“Capital One will use NFC enabled Android phones to transmit a secure payment token to the point of sale. These are accepted anywhere contactless payments are accepted. Any user with an Android phone using an operating system v4.4 (KitKat) or higher and with NFC can now use the Capital One Wallet app to pay for goods and services directly at the POS.”
“Besides payments, the Capital One Wallet app offers additional valuable features that help customers manage their spending, including real-time notifications for all transactions, instant rewards redemption options and easy access to balance and transaction history,” Capital One adds.
“A digital wallet is a natural extension of the trusted relationship a consumer has with their bank,” says Ed McLaughlin, chief emerging payments officer at MasterCard. “We are pleased to partner with Capital One to enable their digital wallet through MDES.”
“In the US, consumers now have more options than ever to pay with mobile devices at the POS — whether it is in a taxi, store, coffee shop or at the gas station,” adds Jim McCarthy, executive vice president of innovation and strategic partnerships at Visa.
“Visa Token Service gives Capital One customers the peace of mind to pay safely and conveniently with just a tap wherever they are in the world.”