Wireless operator Orange has commercially launched a pre-paid mobile money service in Caen and Strasbourg, two of the cities with the highest use of contactless payments in France.
The Orange Cash application acts as a 'mobile purse', taking the form of a Visa prepaid card on a phone that customers can top up via any debit or credit bank card.
To make a payment, users place their mobile on a payment terminal that accepts contactless payment. A passcode chosen by the user will be required for any payment over the contactless limit.
The app also synchs with the handset's GPS, enabling retailers to share special offers and promotions with Orange Cash users in their vicinity.
To mark the service launch, Orange Cash customers who activate their account before 30 June will be credited €10, with an additional €25 credit on making €100 worth of mobile contactless payments.
Delphine Ernotte Cunci, executive director of Orange France says the service will be progressively rolled out throughout France in 2014.