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Contactless smart cards 'should be used where appropriate'
10 Jul 2009

The roll-out of contactless smart cards should begin at retailers where they are most suitable, it has been suggested.

Alistair Newton, research vice-president in the banking industry advisory team at analyst Gartner, tells Silicon.com that contactless smart cards are currently well-suited to low-value transactions.

He argues that this means they should be initially rolled out at retailers where the typical transaction comes to less than £10.

Mr Newton claims that the financial services industry itself could do more to let retailers know why contactless smart cards are a good idea.

"The banks have to persuade the retailers of the business case for this," he tells Silicon.com.

His comments reflect the way in which sQuid's cashless payment cards are being introduced across the country.

In schools, the cards are enabling cashless payment for school dinners, while they can be used for similar purposes by Bolton residents at Domino's Pizza and Subway outlets in the town.

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