CNBC’s Elizabeth Schulze observes that contactless cards are more prevalent in the U.K. than in the U.S. Actually, only 3% of the U.S. cards are contactless as compared to 96% in South Korea and 64% in the U.K. Instead of signing or swiping, tap to pay for your coffee with these cards. These have gained popularity in the U.K. is because of the market potential, as per UK Finance’s Adrian Buckle. In 2014, London Public Transportation began accepting contactless payments that boosted the market.
Meanwhile, 55% of the U.S. citizens prefer cash payments for transactions less than $10 for groceries, fast-food restaurants, and pharmacies. However, they are yet to get used to chip cards which are claimed to be more secure. JPMorgan Chase is issuing millions of contactless cards to customers. Visa expects over 100 million to be used actively by Americans by Dec, 2019. Public transport networks like in the New York City are starting to warm up to the new transaction system. However, some shoppers are ditching cards entirely for their online wallet systems like Apple Pay, Alipay, or WeChat Pay.