01 November 2014

CaixaBank to roll out contactless wristbands

03 July 2014  |  10612 views  |  2 CaixaBank wristband

CaixaBank is to distribute 15,000 contactless wristbands to customers over the summer, staking a claim to being the largest wearable payments programme in Europe.

The band allows the bank's customers to "carry payment cards on their wrists", says the bank, and will be useable at more than 300,000 businesses across Spain.

CaixaBank currently has more than four million contactless cards in circulation, 200,000 contactless-ready PoS systems and accounts for 16% of all contactless payments made in Europe, according to Visa estimates.

The wristbands will be made available to customers who have made the most use of their contactless cards.

The elastic and adjustable bands contain a microtag with the customer's encrypted card details, protected with the same security guarantees as regular EMV cards.

As with contactless cards, for purchases over EUR20 customers will have to enter their card PIN to validate the transaction. Purchases of less than EUR20 can be made simply by tapping the band at the merchant's PoS.

CaixaBank has set up a specific application on its CaixaMóvil App Store, that alerts users via SMS immediately of any transactions made using the device.

This is not the bank's first foray into wearable technology. In early 2014 it launched an early application for smartwatch devices and an application to help Google Glass users locate branches and convert currencies.

The UK's Barclays Bank last month announced plans to roll-out its own 'bpay' bands to UK consumers sometime next year.
KeywordsEFTPOS

Comments: (2)

Paul Love - Compass Plus - Nottingham | 03 July, 2014, 13:05

Perfect for the beach bar :-)

Just need to stick to small rounds and avoid the champagne to keep under the €25 limit :-(

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Richard Sanders - ACI Worldwide - Watford | 04 July, 2014, 09:24

The contactless limit at £20 in the UK(25 euros) looks increasingly under pressure as the use of contactless finally increases, as more terminals rollout and transport becomes the usage driver that was required.

If it does increase to say £30or even £40 and has a variety of options like these wristbands will this have an impact on Banks disputes policy and procedures? With the current rules and limits it is probably not worth using the chargeback option but with potentially larger value transactions and dramatically increased volumes (possibly driven by wristbands etc) this may need to be reviewed at some stage.

In many banks in Europe the chargeback system is a very manual process and a systems backwater. That may change driven by developments like this plus payday loans instalments on a debit card that have to be instantly refunded under the Payments Service Directive.

 

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