Mastercard, a global pioneer in payment innovation and technology in partnership with First City Monument Bank (FCMB) and Netplus, has launched a contactless payment solution that enables consumers, merchants, and financial institutions to process payments seamlessly using Tap on Phone.
The launch of the payment solution will eliminate physical contact with a device at the point of sale, as a result, customers will be able to make contactless payments quickly and easily without having to carry physical cash, the company said at the event, which was held on May 15, 2023, at the Interconnected Hotel in Lagos State.
The service, according to the company is also known as Soft POS, a simple, convenient, and cost-effective digital payment technology that supports the needs of merchants. The solution transforms smart devices into payment-acceptance devices.
Frank Atat, Divisional Head, Payment and Solutions, FCMB said, “As almost all aspects of our lives become virtual, there is a need to continuously proffer convenient solutions that will cater to the transacting needs of our customers and Nigerians.
Our partnership with Mastercard and Netplus to deploy the Tap on Phone contactless payment solution aligns with FCMB’s value as a customer-centric institution committed to providing innovative offerings that conveniently meet the evolving needs of individuals and businesses in a digitally changing world,” he said.
According to the company, customers input a unique 4-digit PIN for both authentication and authorization prior to processing any transaction.
This secure feature aims to provide an added layer of protection against unauthorized use. Furthermore, the transaction flow will follow the existing point-of-sale (POS) rails, with the Nigeria Inter-Bank Settlement System (NIBSS) acting as the central switch for seamless transaction processing.
This partnership marks a new milestone between FCMB and Mastercard while it reflects the bank’s vision to develop innovative, affordable, and convenient payment solutions, the company said.
During the product description process, the company stated that with the Tap on Phone, merchants can use their Android smartphone or tablet to accept contactless payments, without investing in a separate hardware Point-of-Sale (POS) device.
Tap on Phone works by enabling the device’s Near Field Communication (NFC) capabilities, allowing it to communicate with a customer’s contactless payment card.
“The customer simply taps their card on the merchant’s smartphone or tablet, and the payment is processed through the Mastercard network. Under the partnership, FCMB will serve as the acquirer Bank, while Netplus is the payment service provider,” it said.
This technology provides several benefits to consumers, including convenience, speed, security, and accessibility. Transactions are processed swiftly, reducing waiting times, while providing a secure payment method that minimizes the risks associated with cash payments.
Furthermore, this partnership is part of Mastercard’s commitment to connecting one billion individuals and 50 million micro and small merchants to the digital economy by 2025.
“We are delighted to announce the launch of our innovative solution in Nigeria in partnership with First City Monument Bank. As a frontrunner in the digital payments industry, we recognise our responsibility to introduce cost-effective solutions that benefit everybody in the economy and facilitate the adoption of a cashless society for the collective benefit of all,” said Ebehijie Momoh, country manager and area business head, West Africa at Mastercard.
This partnership is part of our commitment to connecting millions of Nigerians into a world where digital connectivity is integrated into their daily lives, making their lives easier and simpler,” she said.