Consumers will soon be able to use their eftpos cards to shop online, with a new service being launched by bank-owned card-payment operator Paymark early next year.
The online eftpos service, which is being developed with ASB, BNZ and TSB banks, will allow anyone with a New Zealand bank account to shop online without having to have a credit card, Paymark said.
Paymark chief executive officer Mark Rushworth said online retailers would benefit from the eftpos payment option as it would make online shopping accessible to more potential customers. It was also expected to lower the incidence of "checkout abandonment", where customers left a shopping site when they were asked to provide their credit-card details.
Paymark said the online eftpos payments service would be integrated with existing mobile banking applications. Customers would not need to reveal their bank account information to merchants when they were shopping.
ASB general manager of technology Russell Jones said the service would benefit customers and retailers alike.
"Online eftpos is a natural progression of a payment method first introduced in 1989 and now well embedded in Kiwi day-to-day life," Jones said.
Paymark said a pilot of the service was planned for late November before it was launched as an industry-wide, pan-bank service early next year. Other banks were expected to join the service soon.