The Ministry of Finance hopes that banks will begin to issue Near Field Communication (NFC) contactless credit and debit cards to their customers, so that the government can expand the use of credit card payments beyond simple merchant transactions.
The department said in a letter marked with the bank’s chief executive, a copy was seen at Eastern Time that NFC or contactless credit cards were the next generation of innovations in the credit card industry that could bring greater security and convenience to digital payments, so banks should start issuing such cards to customers.
In addition, the Ministry of Railways said in the report that if such cards are issued, they can be used in public transportation such as subways, railways, and even buses. Consumers simply click on the card and the ticket price can be directly deducted from the bank account. .
The Department of Commerce emphasizes that most point-of-sale (PoS) terminals can read NFC-supported cards, which may help drive digital transactions in China.
When the Ministry of Finance sends a notice to the bank, the payment company is trying to promote it globally. The Visa Group demonstrated the technology at the 2018 Winter Olympics in Pyeongchang, South Korea.
“According to our group’s experience, contactless payments are at the expense of cash, both in Australia and in the UK. Contactless payments are also one of the safest payment methods at the point of sale because they use the same dynamic security Contact EMV cards,” said Visa Group Manager TR Rama Chandran.
An NFC-enabled credit card allows the user to simply click on the point-of-sale terminal without the need to touch the card. Rajeev Agrawal, CEO of Innoviti payment, said: “Contactless credit cards require cashiers to change their behavior, unlike traditional credit card methods, when swiping the card, then swiping the card, then entering the amount instead of touching The credit card asks the cashier to enter the amount and click on the credit card.”