UK-based Zapp is to roll out a new mobile payment system, which will allow customers to make payments for purchases at shops and restaurants using just their mobile devices.
Called Zapp, the new system will be integrated with the bank’s existing mobile apps and will turn them into instant payment systems, allowing customers to make payments without the use of credit cards.
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Zapp CEO Peter Keenan was quoted by The Telegraph as saying that the mobile payment system is more secure than using a credit card.
"When a customer wants to make a payment using a card, they pass all their payment details to the merchant…all the information a fraudster would need in order to make a payment," Keenan added.
However, customers using Zapp would hand over no information to the merchant, instead downloading an electronic ‘token’ which pushes the payment direct from their bank account.
Keenan said if a fraudster gets hold of that digital token, there is nothing they can do with it other than pay that bill.
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By GlobalDataZapp will be launched in the UK in the summer of 2014.
