Interac has certified Moneris Solutions Corporation (Moneris), a Canadian processor of debit and credit card payments, to process contactless debit transactions in an open loop payment solution.
Transit authorities using Moneris’ Open Payments for Transit will soon be able to accept debit in addition to credit transactions for fare payment. Moneris says it is now the first payments processor in Canada to reach this milestone.
The certification comes at a time where there is an increasing shift away from cash towards contactless payments because of COVID-19. According to data from Payments Canada, since the start of the pandemic, 57 percent of Canadians have reported a decrease in using cash, while 47 percent of Canadians have reported an increase in using contactless options like credit and debit.
“As the first payments processor in Canada to receive certification for processing Interac® Debit, we’re excited for the possibilities this opens up for transit authorities,” said Patrick Diab, chief product officer. “We know Canadians are looking for contactless payment options in all aspects of their daily lives, and transit is no exception. By adding an open loop payments solution to their existing fare collection system, transit authorities can provide their riders with more convenient and accessible contactless payment options.”
A survey commissioned by Interac revealed more than two-thirds (69 percent) of transit riders in Canada say they would likely use debit or credit to pay their transit fares. Open loop payments enable riders to simply tap on with their credit card, debit card or digital wallet, which can help alleviate long lines at kiosks or fare collector booths. Riders using open loop payments can therefore move faster and more freely through turnstiles and other fare collecting areas with less physical contact.
Accepting credit and debit can also help reduce complexity, making transit more accessible for occasional riders as they have a payment option that is more familiar and therefore more convenient.
“When transit authorities add Interac® Debit they are offering their riders a form of payment that almost 30 million Canadians already use,” said Peter Maoloni, vice president of Product & Services, Interac Corp. “Over 80 percent of Canadians use Interac for day-to-day purchases with more than half of those transactions being contactless. Open loop payments are the natural next step, and certifying Moneris to process Interac® Debit enables transit authorities to provide their riders with the payment options they are looking for.”
Currently, Moneris Open Payments for Transit supports the ability to use all major credit cards. It expects support for Interac® Debit to be available in late spring 2021.
