Payment Methods

Mastercard Expanding Scan-To-Pay QR Program

Mastercard is expanding its QR-based programs to create greater choice in retail mobile payments.

The company today announced news of its plans to offer QR codes for scan by customers and merchants, building on its QR efforts in India, Thailand, the Middle East and Africa, as well as its collaborations with industry players to create new global QR standards.

The consumer-presented solution will enable customers to pull up a QR code on their smartphone that can then be scanned by the merchant.

Masterpass QR, launched in 2016, already enables brick-and-mortar shoppers to pay for their purchases using their mobile phones rather than a plastic card: They can simply scan the QR code displayed at the merchant’s point of sale, or enter a text code if their phone doesn’t have a camera.

This new solution shifts the scanning responsibility from the customer to the merchant. Once the QR code has been scanned, the online payment will be processed through the Mastercard network using M/Chip technology and the secure EMV infrastructure that retailers already have in place.

EMV — short for Europay, Mastercard and Visa — is a global standard for cards equipped with computer chips and the technology used to authenticate chip card transactions.

The standards were initially introduced by the three titular players who have recently been working together to create a similar global standard for QR codes. The QR standard aims to guarantee consistency in QR code generation and capture. EMVCo is pushing for its adoption on a global scale.

From street vendors to luxury boutiques to international retail chains, giving consumers the option to pay by scanning a QR code can build on and complement investments in mobile payments. For those at the smaller end of that food chain, QR technology unlocks the speed and security of high-end point-of-sale systems at a digestible price tag, giving them the tools to keep up with larger competitors.



B2B APIs aren’t just for large enterprises anymore — middle-market firms and SMBs now realize their potential for enabling low-cost access to real-time payments and account data. But those capabilities are only the tip of the API iceberg, says HSBC global head of liquidity and cash management Diane Reyes. In this month’s B2B API Tracker, Reyes explains how the next wave of banking APIs could fight payments fraud and proactively alert middle-market treasurers to investment opportunities.

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