The new solution works by utilizing the modern technology of smart phones (such as the Apple iPhone) along with a small attachable device which will allow businesses to accept ‘Chip and PIN’ card payments from their customers.
The downloaded application on smart phone will acts as a Virtual Till allowing merchants to enter a payment amount or pick from a price list of their products and services. They can also add a discount or apply loyalty features before completing the transaction. The application then interacts with a small Chip & PIN device which enables the customer to enter their card and PIN. The cardholder will have the option to receive their receipt electronically via SMS and/or email.
Moreover, the application also allows the merchants to view the card payments, along with cash or cheque transactions with end-of-day reporting feature. The transaction log can be viewed for a period of past week, month or year.
The service is expected to benefit number of small businesses such as plumbers, electricians, mobile hairdressers & market traders who understand the benefits of card payment; including security, wide consumer acceptance and guaranteed payment.
Barclaycard is also developing a new mobile payments terminal to help these businesses accept card payments quickly and securely.
A pilot of the new terminal with selected merchants is expected during the second half of the year, with a launch anticipated towards the end of 2010.
Paul Cook, managing director of global payment acceptance at Barclaycard, said: “Barclaycard is continually looking for opportunities to offer new products and services to its customers. We understand how important convenient, widely accepted and guaranteed payment is to small businesses and also how mobile phones play an integral role in their life and their business.
“Developing a service which brings mobile and electronic card payments together in a simple compact solution illustrates how Barclaycard continues to develop innovations that make our customers lives easier.”
