PayPass a rip-roaring success

At its first AGM of shareholders this week, MasterCard Worldwide revealed that its PayPass contactless chip card system has been something of a major success.

The average PayPass transaction is said to be worth $20 and the PayPass consumer uses it 18 per cent more frequently than they would a standard debit or credit card.

Interestingly, MasterCard says that 75 per cent of all PayPass transactions are for purchases below $25, and about 45 per cent are for less than $10.

Although actual figures aren't available, MasterCard did say there has been a 36 per cent increase in usage per PayPass account from 2005 to 2006, and a 45 per cent increase in total transactions per account, according to the issuer.

In parallel with these stats, MasterCard says there was also a 230 per cent increase in the number of merchants accepting PayPass from 2005 to 2006, and a 270 per cent increase in the number of PayPass transactions at PayPass-accepting merchants.

And there are now 10 million PayPass cards in circulation worldwide - not bad for a contactless credit card eh - Oystercard eat your heart out...