In an Australian telco first, Optus is launching a contactless payment app that uses Near Field Communication (NFC) and Visa payWave technology to pay for cash purchases below $100.
Customers with an Optus postpaid mobile account can load up to $500 at any one time and make contactless purchases via their Android smartphone. The telco says there are 20 handsets currently capable of using the service, which requires an NFC enabled SIM and the Cash by Optus app.
The telco is looking to cash in on the Australian consumer love-in with contactless payments at the checkout. Visa recorded over 64 million payWave transactions in September alone, representing more than half (55%) of face-to-face Visa transactions in Australia.
Ben White, VP, mobile marketing, Optus, says: “There are already nearly one million Optus postpaid customers with compatible devices who could download this app, get the SIM and make purchases using Cash by Optus. We’re the first Australian telco to launch a mobile payments app, and because it’s compatible with many of the latest Android devices and can be linked to any Australian bank account, we’ve got a huge opportunity to bring this technology to a lot of people.”
The banking back-end is run by Heritage Bank, which has specific expertise in the pre-paid cards arena.
John Minz, CEO Heritage Bank, says: “Heritage Bank is a relatively small financial institution, but we’re already recognised for our ability to deliver really creative and effective payment solutions for our corporate partners, particularly in the area of prepaid transactions.”