The U.K.’s biggest credit card issuer, Barclaycard, has signed an exclusive agreement with the operators of London’s Oyster contactless transit system. The three year deal will bring Barclaycard-issued Visa EMV and contactless payment cards containing the Oyster functionality to London commuters.
Barclaycard and TranSys sign agreement to put Oyster on credit cards
New technology will see ‘wave and pay’ cards in the capital within a year
Barclaycard has signed an agreement with TranSys, the consortium which runs Oyster card in partnership with Transport for London (TfL), to combine Oyster and Barclaycard on one piece of plastic. The deal includes the exclusive rights to place Oyster on Barclaycard and Barclays Connect Visa cards for at least the next three years.
The new card will have three separate functions:
- Standard Chip and PIN card
- Oyster card
- New technology allowing contactless payment for low value transactions
New technology will allow cardholders to pay for low value transactions simply and securely by waving the card over a contactless reader in participating shops. Barclaycard, in conjunction with TfL, TranSys and Visa, will be conducting a live trial in London in 2007 and plans to roll out the technology to its customers later in the year. ‘Wave and pay’ technology means faster, more convenient payments as there is no need for a PIN or signature. The system reduces the need to carry cash and is particularly suited to retail environments such as fast food outlets, coffee shops, newsagents, off licences, bars, pubs, parking facilities and vending machines. Transactions are processed through the same reliable and secure payment network used for Chip and PIN.
Commenting on the deal, Antony Jenkins, Barclaycard’s Chief Executive said: “London has seen huge success with the Oyster card from TranSys and TfL – in much the same way as cards have transformed many other consumer payments, it’s difficult to imagine how we managed beforehand. Putting Oyster and Barclaycard together makes life even easier for Londoners and takes our customers an important step closer to fully contactless card payments elsewhere.”
Barclaycard is a multi-brand international credit card and consumer lending business; it is one of the leading card businesses in Europe.
In the UK, Barclaycard manages the Barclaycard branded credit cards and other non-Barclaycard branded card portfolios including Monument, SkyCard and Solution Personal Finance. In consumer lending, Barclaycard manages both secured and unsecured loan portfolios, through Barclays branded loans, being mostly Barclayloan, and also through the FIRSTPLUS and Clydesdale Financial Services businesses.
Outside the UK, Barclaycard provides credit cards in the United States through Barclaycard US, Germany, Spain, Italy, Portugal, Scandinavia and across Africa.
Barclaycard Business processes card payments for retailers and issues purchasing and credit cards to business customers.