MasterCard PayPass Enters Virtual Wallet Arena - Card Issuers News


ADVERTISING DISCLOSURE: is an independent, advertising-supported web site. receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Card Issuers » MasterCard PayPass Enters Virtual Wallet Arena

MasterCard PayPass Enters Virtual Wallet Arena

MasterCard PayPass Enters Virtual Wallet Arena
The content is accurate at the time of publication and is subject to change.

Last month we wondered what MasterCard would bring to the table at this month`s CTIA Wireless Association conference in New Orleans. On the conference`s opening day yesterday, MasterCard announced the birth of PayPass Wallet Services, which builds on their existing PayPass technologies and is similar to Google Wallet and other mobile payment systems.

PayPass Wallet will offer a single place where customers can store their credit and debit card information; this secure digital wallet will be similar to PayPal in that when making purchases online, people can use PayPass Wallet to pay rather than entering their card information each time, at each site. Anyone who shops online frequently knows how annoying it is to enter their name, address, card number, security code, and expiration date every time they virtually check out. Once a customer has PayPass Wallet set up, they won`t have to do that anymore. They can store information for up to 25 cards of any brand, not just MasterCard.

Where Can We Use It?

PayPass Wallet will work at the checkout counter, in front of the computer, or on your phone. Whether shopping online, on a smartphone, or at a brick-and-mortar shop, PayPass Wallet will be able to process payments. Online or by phone, customers will enter a password, and at an in-store point of sale (POS) terminal they can also pay using a Near Field Communications (NFC)-equipped phone to access their list of available cards. They`ll simply tap the phone to the POS, the way they currently tap an NFC-enabled credit card to the register now.

PayPass Acceptance Network is the umbrella which encompasses PayPass Wallet as well as PayPass Online and PayPass API (Application Programming Interface). PayPass Online is MasterCard`s previously established contactless payment system, and PayPass API allows MasterCard partner merchants to connect to MasterCard`s payments network. Customers have already been able to use PayPass POS technology at about half a million locations worldwide

When Will We See It?

MasterCard plans to have PayPass Wallet up and running by the third quarter of 2012, and will simultaneously launch the product in North America, Australia, and the United Kingdom. For now, they plan to get the payment system working smoothly and implemented as many places as possible, but in the future, they hope to add services such as budgeting tools that send out spending alerts and allow users to set controls. They will also offer discounts and incentives, possibly capitalizing on the daily deals market partnership they recently announced in connection with Local Offer Network.

MasterCard Not Being Greedy

Unlike similar digital wallet systems from Visa, Google, PayPal and others, MasterCard is opening up its platform to third-parties, letting them either use PayPass Wallet under their own brands or use MasterCard API to build their own platform. A company logo will be built into PayPass Wallet but other than that, companies can use their own branding. MasterCard will not even get paid when people use a PayPass Wallet service that`s been re-branded by someone else. So why would they do it? They may see some advantages, such as banks that use the platform giving priority to MasterCard before other companies` cards. Industry experts predict that PayPass Wallet will be used with MasterCard 80 percent of the time, even if they are branded under another name.

Cashless Society Closer Every Minute

As many experts predicted in the recent study that we reported on, it does seem that cash and even credit cards as we know them are on their way out. With more and more options for virtual and mobile payments, people might be wise to start collecting up their favorite wallets (the actual, not the virtual, kind) for future sales to antique stores.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:

Related News:

The Newly Revamped Hawaiian Airlines World Elite MasterCard

Posted: July 20, 2018

Vacationing in Hawaii can be a dream for many, and those with the recently upgraded Hawaiian Airlines World Elite MasterCard and Hawaiian Airlines Business MasterCard can earn miles towards a trip quicker with the cards newly revamped ... Continue reading
Getting Cash Back When Flying With Aerolineas Argentinas

Posted: July 19, 2018

There is a new Amex Offer on the table for people who are thinking about flying with Aerolineas Argentinas, giving them $100 in cash back when booking flights with the airline. To get the deal, travelers must spend $500 or more. Continue reading
American Express Cardholders Get Free Amazon Prime

Posted: July 18, 2018

If you have an American Express credit card you may find a special offer in your inbox, one letting you take Amazon Prime for a test drive for free for three months. This offer is available until July 23rd, 2018, or until 160,000 people ... Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Earn 5% cash back at different places each quarter like gas stations, grocery stores, restaurants,, or wholesale clubs up to the quarterly maximum each time you activate.
For Excellent, Good Credit
We'll match all the Miles you've earned at the end of your first year. For example, if you earn 30,000 Miles, you get 60,000 Miles.
For Excellent, Good Credit
0% Intro APR on Balance Transfers and Purchases for 18 months. After that, the variable APR will be 15.74% - 25.74% based on your creditworthiness*
For Excellent, Good Credit
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!