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Mobile payments? Your callDec 03, 2010 (Times Union - McClatchy-Tribune Information Services via COMTEX) -- SARATOGA SPRINGS -- Using a smartphone to make a purchase is already relatively common here. It's been nearly a year since Adirondack Trust Co. partnered with Bling Nation to offer a way for people in the Saratoga Springs area to pay for purchases without using credit or debit cards, cash or checks. But the options are expected to grow rapidly in coming months as other companies throw their own technologies into the mix. On Monday, Discover announced the rollout of its Discover Zip payment system featuring stickers that attach to a phone or other device, as well as credit cards that don't need to be swiped through a machine. Instead, shoppers tap them against a terminal to make a payment, and a chip inside the sticker or card transfers encrypted data to complete the purchase. Meanwhile, T-Mobile, Verizon Wireless and AT&T said earlier in November that they have joined to develop what they're calling the Isis Mobile Wallet, permitting shoppers to use their smartphones to make payments, keep track of loyalty programs and pay for transit tickets, among other uses. Verizon Wireless spokesman John O'Malley said Thursday that the project is in its very early stages. Like Discover Zip, Isis, a name drawn from Egyptian mythology, will use what's called "near field communication" to transmit encrypted data from a smartphone to a payment terminal. "It's all very secure," O'Malley said. Isis isn't expected to appear for another 18 months. While these technologies are more common in Europe and Asia, they're just coming into use domestically. The earliest efforts have had a few hiccups, though. "We started Bling in January," said Cathy Hamilton, a co-owner at Putnam Market in Saratoga Springs. "We had enough problems to make it annoying." Sometimes the wireless signals from the payment terminal didn't go through, she said. The Bling payment system also didn't communicate with the store's existing point-of-sale system, complicating accounting, she said. Putnam Market ended its ties to Bling just before Thanksgiving. Wireless signals also caused problems for Allerdice Building Supply, which tried to use the terminals in some of its metal buildings without success, said store manager T.R. Pennell. He said usage has "probably decreased" since the terminals were first installed, although Allerdice continues to accept Bling payments. Discover is sending the Zip chips to customers who previously have demonstrated an interest in mobile technology, said spokeswoman Laura Gingiss. Discover cardholders can also call the company at 800-DISCOVER to request a sticker or card, she said. Discover plans to roll out the payment system early next year. Reach Eric Anderson at 454-5323 or [email protected]. To see more of the Times Union, or to subscribe to the newspaper, go to http://www.timesunion.com. Copyright (c) 2010, Times Union, Albany, N.Y. Distributed by McClatchy-Tribune Information Services. For more information about the content services offered by McClatchy-Tribune Information Services (MCT), visit www.mctinfoservices.com. |