Biggest business bank account cards going contactless

The card issuers for some of Britain’s biggest personal and business bank accounts are making the mandatory transition to ‘contactless’ cards that don’t need their users to enter PIN information for small transactions.

Banking giant Barclays is just one of the banking institutions using the new ‘touch-and-pay’ cards.  Virgin Money and MBNA are also using the new technology as well.

The contactless technology allows debit or credit cards to simply be touched against a reader to make purchases at any place that employs them.  However customers have been left with some misgivings regarding security due to the lack of any proof of identity needed for any transaction under £15.

Several customers have stated that they didn’t trust the efficacy of the built-in security measures of each credit and debit card.  As a precaution only a few transactions are allowed to be made before the request for a PIN is made.  The amount is typically set to be less than £50.

Sceptical customers said that the feature encourages theft, even though it would prevent criminals from emptying the contents of entire bank accounts.

Many other High Street banks are considering adopting the precedent set by Barclays in order to implement it across their own brands.  Both RBS and HSBC are conducting trail-runs with sizable proportions of their own customer bases.

Both financial services providers stated that the jury is still out on whether they will transition over to the contactless technology.

There are a total of 12 million touch-and-pay cards currently in circulation across the UK.  The cards are accepted at upwards of 26,000 locations throughout the country.  Industry experts predict that the number of cards being used to increase by 100 per cent by the end of this year.

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