MasterCard and global financial institution ING Group have announced a joint trial in the Netherlands that is testing a new way to pay online using mobile phones.
The trial uses the same secure element in the mobile device that supports the Mobile MasterCard PayPass application for contactless payments to deliver a secure payment experience at Internet merchants.
The solution being tested in the trial supports two purchasing scenarios: mobile phone and Internet. For purchases by phone, customers select payment method, provide shipping information, and then enter their PIN to authenticate the transaction. An EMV-compliant cryptogram is supplied by the phone directly to the merchant's payment gateway for processing.
For purchases over the Internet, customers complete the payment step on their mobile using a secure QR code that connects the Mobile PayPass application in the phone securely to the merchant's online shopping cart.
In both cases, consumers can use coupons and vouchers in real-time, and receive an e-receipt upon successful payment.
"As a company leading the global transformation of digital payment technology, we continue to work with innovative partners like ING to develop and test solutions that address and enhance the ways consumers can pay for goods and services — both today and tomorrow," said Jorn Lambert, group head of emerging payments in Europe for MasterCard Worldwide. "This trial builds on our recently announced PayPass Wallet Services and our vision of delivering to consumers and merchants a secure, converged payments experience in-store, online or on a mobile device."
The trial, which began in mid-October, will run through the first quarter of 2013.
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