Visa, Mastercard Seek Lift From Public Transportation
In a bid to promote contactless payments, the two credit card giants are looking to public transportation for help. More than 150 cities now boast mass transit systems, many of which are sponsored by Visa or Mastercard, that let passengers save time by tapping their cards at entrances. The companies are betting on those systems to demonstrate the convenience of contactless payments, which could, in turn, generate a spike in credit card purchases.
Is it a win for everyone? Not exactly: Poorer families and undocumented immigrants — part of the more than 25 percent of the U.S. population that’s unbanked or underbanked — could be left marginalized by such a system.
Check out OZY’s feature on the rise of digital tipping.