Smart card technology is the way to go, says top RP card producer

Contactless credit cards, as what Visa says, will not replace cash. Smart card technology is hitting every country that has Visa logos like a storm, creating both bewilderment and confusion to every cardholder. And a leading card producer in the Philippine believes that smart card technology is soon to hit the country.

Allcard Philippines Incorporated marketing manager Franz Reyes predicted that the Philippines is just months away from actually having contactless smart cards. A pioneer in the smart card technology in the Philippines, Allcard says that the technology needed to create a system of contactless transactions is already available in the Philippines and may soon find its way to every shop and retail outlets in the country, even government offices.

“In fact, we may not know it or even deny it but we use contactless smart card technology almost every day, “says Reyes who has been championing the smart card technology for over ten years now. Reyes said that those who board MRT and LRT trains everyday use contactless card solutions technology. With just a swipe of their MRT cards, commuters pay their fare as effortlessly as what Americans and Singaporeans started to do almost two decades ago.

Contactless smart card technology began in the United States two decades ago. It uses RFID technology, the same one used by the US military in tracking enemy aircraft during World War two. It has since been modified and custom tailored to fit the needs of card users. Contactless cards are being used by most Americans in majority of their daily transactions. It is convenient, fast and reliable, powered by a smart chip that contains the cardholder’s account information. Smartcard Alliance, the brand champion of the new technology, says that more than 50 million contactless cards have been issued in the United States alone. Visa, the world’s leading credit card company, says that 20 retailers with 32,000 outlets now accept its PayWave card, while Mastercard states its 37 million PayPass cards can be used at more than 130,000 locations worldwide. Most readers are designed to read the payWave, payPass and American Express’ RFID-chipped Blue and Clear cards.

Allcard said the advantages of using contactless card technology are convenience and security. “Britons, for example, use their contactless credit cards like what they do to their MRT cards, simply swiping their cards for purchases less than 10 pounds. Last month, Australians had a taste of what’s like using a contactless credit card. Twenty two million Visa PayWave and MasterCard’s card holders in Australia used their cards. Australians were amazed at how convenient it is to use the technology,” adds Reyes.

Reyes said the world is fast moving from old mode technology to super high convenience tech that it is inevitable for the Philippines not to catch up with it.

Asia, for example, is experiencing the convenience of contactless card technology, with Taiwan leading the charge. Inside Contactless, a world leader, has set shop in Bangkok, Thailand. The company is building a secured semiconductor probing facility, anticipating increased production capabilities to address an expected upsurge of demands of up to 500 million micropass contactless payment microprocessors annually.

IDTechEx, a reputable smart card technology information provider revealed that orders for well over US$ 100 million of contactless smart cards and associated systems have been placed. China, for example, is actively pursuing its plan of giving away 900 million contactless cards to more than a billion people. Taiwan, Singapore and Malaysia has migrated their systems to adopt smart card solutions systems.

Reyes says it is to our disadvantage if the Philippines does not adapt to this ever-growing technology. “ The potentials of this technology is enormous. It speeds up transactions. It saves money. And countries without contactless technology stand to lose billions since their systems will not be able to jibe with the new and emerging technology, “ says Reyes.

Allcard Plastic Philippines Incorporated is the leading Filipino card production company. Established in 2001, it is the fastest growing full card printing and production facility in the Philippines. Backed by state-of-the-art equipment powered by highly skilled and experienced production team, Allcard Plastic Philippines services 9 out of 10 top banks and 2 out of 3 telecommunication companies in the country.