LG Electronics plans to launch its mobile wallet service in the U.S. by July 1, according to local reports in South Korea.

LG Pay uses a technology called Wireless Magnetic Communication that works in a similar way to Samsung Pay's Magnetic Secure Transmission. That technology enables users to make mobile payments at point-of-sale terminals that lack contactless functionality.

At the moment, LG Pay is only available in South Korea.

LG said it would include the mobile wallet with its G7 and V40 premium phones this year before including LG Pay with mid-range phones next year.