“Tap and Go” Takes Aim at Debit and Credit Cards
| April 23, 2010 |
While much attention has been brought to being able to pay with goods by using your cell phone instead of with a credit card it now seems that the newest thing being tested is known as "tap and go". While it is not widely available as of yet, it is something that some believe could continue to grow and eventually take hold as now more than ever American are depending on their mobile devices.
When it comes to this new "tap and go" technology, consumers no longer have to carry or swipe their debit or credit card. Instead, they simply use their cell phone to make purchases by waving (tapping) a quarter sized microchip sticker attached to their phones or mobile device. When this is done they enable debit transactions directly from their checking or saving account. Then in real time they receive a updated balance of their account letting them know where they stand financially.
While this may seem like something that could take a while to catch on there are many reasons on why this could be used by many over traditional debit and credit cards. One of the most main reasons is that the company that makes these products say has a lower risk of fraud, reducing identity theft greatly. Since there is no personal information on the microchip there isn’t information that thieves would be able to use to access your account. Another reason deals more with business owners as it could one day help them save money. As interchange fees continue to rise and there is no regulation on such fees nowhere in sight this could very well be the answer.
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