Absa recently launched the first fully functioning bank card that enables customers to simply tap and pay for low value items.

Building on Absa’s PayPass^TM technology which is behind the roll out of the My Citi transit card in Cape Town and the BRT in Johanneburg, Absa has built the contactless payments system into Potentiate, a new bank account for South Africans with a post matric qualification.

Potentiate is aimed at tech savvy graduates yet has one of the lowest entry salary requirements with customers needing to earn just R3000 per month to qualify. Absa is also offering new customers an Apple i-Pad with a free data bundle for an interest free monthly installment or a 15% discount if you pay cash.

The Potentiate account, so named as it makes the user experience more powerful (as in potent), comes with a MasterCard Titanium^TM  card which has some pretty unique features. Commuters on My Citi in Cape Town can use the card to pay for their commute (Joburg commuters will be able to use the card once the BRT’s new payment system is rolled out next year). The card’s Tap and Go^TM technology also allows customers to simply tap the card for transactions under R200 such as a cup of coffee, without the need to swipe and enter a PIN.  This is currently only available at around 1100 retailers but Absa is in negotiations with two large retailers to roll out tap and pay devises across South Africa.

The card also features a LCD display on the top right hand side of the card which issues a one-time PIN for added security for online shopping. The next stage of the card development will allow for the bank balance to be displayed on the LCD screen each time you do a transaction.

The offering:

You payR139 per month which includes:

• unlimited electronic payments and debit orders,
• unlimited point of sale transactions and free cash withdrawals at merchants
• unlimited electronic balance enquiries
• unlimited free NotifyMe alerts
• accidental death and salary protector benefit.

The account also offers a spousal discount for a spouse or life partner who will receive a 50% discount on any value bundle account offered by Absa. The card holder will also qualify for a 50% discount on the monthly fee if they maintain a prescribed minimum balance.

As this product is expected to resonate with the younger market, Absa has included a free financial planning session with a financial adviser when you open the account.

Tap your phone

Absa is taking the contactless card (tap and go) one step further with the OneTouch Mobile which is now in beta phase among certain Absa and Vodacom staff members and is expected to be launched to the public next year. OneTouch Mobile works on Near Field Communication (NFC) technology – which essentially transforms cellphones into payment devices at point-of-sale terminals, by tapping them on the devices instead of inserting or swiping plastic cards.

Scan ‘n Pay your bills

Absa’s new ATMs allows Absa customers and non-Absa customers to scan bar-coded invoices and instantly make payments to the relevant service provider, at all Cash Accepting ATMs.

Over the last year Absa has rolled out 2300 new Cash Accepting ATMs which have bar code reading abilities allowing a consumer to scan their utility bill, DSTV or even their cell phone bill and pay cash into the ATM irrespective of whether they have an account with Absa. The ATMs also allow My Citi card holders to upload money onto their cards, this will also be available to BRT commuters in Johannesburg.

According to Adrian Vermooten of Absa’s Digital and Self Service Channel Absa targeted the top 20 bills that South Africans mostly pay and provided a convenient way to settle the accounts and avoid finger trouble when inputting long account numbers.

Non-Absa customers make payments by depositing cash into the ATM while Absa customers can also pay directly from their accounts.

This article first appeared in City Press