Commercial cards are going mobile and high-tech, as seen with the integration of some corporate card products with mobile wallet solutions, like Apple Pay. HSBC is upgrading its commercial card technologies, too, allowing employees and executives to make contactless payments.
Reports published Friday (Jan. 15) said HSBC will issue contactless cards to customers of its Business Credit and Corporate Credit arms in the U.K. That means about 575,000 corporate customers will be able to use contactless payment technology on their corporate cards for smaller purchases.
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Specifically, the bank said the cards will provide managers with insight into small-value purchases under £30 (about $43) made for things like business trips and procurement. The idea, the bank added, is to ensure that personal and work-related purchases remain separate.
“Contactless payments are the fastest-growing means of card payment, with customers demanding greater flexibility in the way they spend their funds,” said HSBC U.K. Head of Payments and Cash Management Frances Howell in a statement. “Through the introduction of contactless functionality, we’re helping our business and corporate customers better manage their finances by making it simpler and more efficient to do business.”
HSBC also offers contactless payment capabilities for other commercial payments offerings, like its Business Debit cards. According to reports, those cards saw a 300 percent increase in the use of contactless payment terminals last year.
The U.K.’s overall use of contactless payment technology is surging, with reports noting that use of bank-owned point-of-sale terminals increased 46 percent last year from the year prior. The latest figures from the U.K. Cards Association says 10 percent of card transactions in the U.K. are now contactless.