UK banks plot Visa/Mastercard Alternative

Maegi

https://forums.moneysavingexpert.com/discussion/comment/81890010#Comment_81890010

Google increased the security of Google Pay so that it requires user verification for many low value and practically all high value transactions now. This takes seconds.

If my default card (Amex) isn't accepted then some card machines freeze/crash and have to be reset so I can re-try with a Mastercard / Visa alternative. This takes longer but is still seconds.

northwalesd

Google increased the security of Google Pay so that it requires user verification for many low value and practically all high value transactions now. This takes seconds.

What do you term 'high valiue'? The only time Google Pay asks me for verification is if the phone has been unlocked for a while. within the past two weeks I've made several payments in the hundreds without being prompted for verification.

born_again

https://forums.moneysavingexpert.com/discussion/comment/81888771#Comment_81888771

Not sure that FP could be classed as a fallback option for card payment systems being off line for your shopping in store, as odds of anyone instore knowing the bank account to send money to, and ability to actually check payment was made. Will be slim to none.

[Deleted User]

Some of these systems seem to be a wallet on your phone, rather than a bank account. When you pay for something, the money goes directly from you to the business or person, without a middle man. One wonders what consumer protections would be in place, perhaps none if it is effectively the same as cash (but traceable).

masonic

https://forums.moneysavingexpert.com/discussion/comment/81893730#Comment_81893730

It was more that a backup system could be developed using Open Banking, powered by FP.

QR code takes you to a TPP payment screen where you can trigger the payment via OB.

Such a system would need to be developed, but may be lower hanging fruit than the current proposal.

sausage_time

https://forums.moneysavingexpert.com/discussion/comment/81893890#Comment_81893890

Many UK banks already have QR code based payment systems using OpenBanking, one example is

https://www.natwest.com/business/business-services/payit-hub.html

I have seen BhararQR system widely used in India at point of sale:

https://en.wikipedia.org/wiki/BharatQR

Although I see that was developed by MasterCard and Visa.

[Deleted User]

https://forums.moneysavingexpert.com/discussion/comment/81894571#Comment_81894571

This is based on existing systems. It's not the same as the Chinese system etc.

GeoffTF

https://forums.moneysavingexpert.com/discussion/comment/81893834#Comment_81893834

There is a middle man, except for the Digital Euro.

Maegi

https://forums.moneysavingexpert.com/discussion/comment/81891003#Comment_81891003

Google updated their setup about a year ago, now about of 75% of transactions ask for verification. Previously, simply having the screen on was sufficient most of the time.

By high value, anything over the contactless limit has always required verification.

Maegi

https://forums.moneysavingexpert.com/discussion/comment/81893890#Comment_81893890

The easiest would be simply to require Visa Europe and Europay to be outside US jurisdiction and able to operate independently of their US parents if and when required.

Some proposals look like a modified version of the German girocard system which are often co-branded Visa/ Mastercard debit for usage outside Germany anyway.