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Barclaycard's PayTag and reader
UK retailers already equipped to receive contactless payments include Tesco, Waitrose, McDonald's and Boots. Before the end of 2012, London buses are expected to begin accepting NFC-based transactions, to be followed in 2013 by the rest of London's public transport network.
In our hands-on test, making a payment using the PayTag was a painless experience and simply required tapping the tag on the card reader. Additionally, sticking the tag onto the back of a phone several times and then removing it again did not leave any residue on the handset.
Chan said he had sent out invitations to try the service to the first set of customers, who should receive their PayTags in the next six to eight weeks.
The guidelines that apply to Barclaycard credit cards also cover the PayTag. If a handset with a tag attached is lost or stolen, people should call the company to cancel the tag to prevent fraud, the company said. If the tag has already been misused, customers will get a refund, Chan said.
Barclaycard said it introduced its first contactless cards and terminals in the UK in 2007, and there are now around 100,000 contactless terminals in the country. However, the company hopes that this total will increase to around 150,000 by the end of 2012.
The introduction of PayTag follows the Barclays Bank's launch of PingIt in February. PingIt allows anyone with an Android, iOS or BlackBerry smartphone to send or receive payments of up to £300 in a single payment, using just the app and without sharing bank account details.
Image credit: Ben Woods/ZDNet UK