Pay for Merchandise by Saying Your Name?

Square, the payments start-up founded by Twitter co-founder Jack Dorsey, has updated its mobile payments service Card Chase with new features.

Card Chase allows users to make payments by simply using their name at the check-out counter.

The service comes with virtual cards that store location information, merchant information, history of prior payments, and transactions and coupons. When visiting a store, consumers are able to activate a virtual tab with their Square account to pay for purchases using just their name. The account is linked to consumers' debit and credit cards.

The update made to the Card Chase iOS app utilises the iOS geofencing feature, which notifies the vendor that a consumer is nearby. When users make a payment, the cashier verifies them with a photo and presses a button to accept payment. Consumers receive a push notification for their transaction, as reported by Reuters.

"You walk in, say your name, and walk out. It's a seamless payment experience," said Megan Quinn, director of products for Square.

"You can pay without ever reaching for your purse, taking out your wallet, or even your phone. It requires no new or unusual customer behaviour -- you don't have to wave your phone, or pre-load money," she added.