A lifesize version of Pudsey bear, the cuddly mascot of the BBC Children in Need charity campaign, will take to the streets of London equipped with an NFC chip in its ear, enabling passers-by to tap their phones to make a donation.
The Pudsey pay model has been created in a collaboration between open banking vendor Nuapay and mobile tech outfit Thyngs, to help the campaign tackle the decline in donations due to reductions in consumer cash use.
Research published by the Institute of Fundraising last year highlighted that 70% of charities had seen a reduction in cash payments and that over 74% had not yet implemented contactless payments systems.
For the BBC campaign, a number of Pudsey Bear collection points will be available at offices, bars and restaurants across London.
The Open Banking-based system collects payments through the user's mobile banking app, eliminating the need for for consumers to share sensitive data or card details and reducing card processing costs for the chairty.
Nick Raper, head of Nuapay UK, says: “For many years, cards have been the only real option available if merchants wanted to accept cashless payments or donations, and this required expensive card terminals and technology. But with the new European regulations, Open Banking based payments have now become a viable, fast growing payment option."