New form of contactless payments introduced in Turkey – BKM introduces secure, Cloud-Based Mobile Payments Through HCE
Interbank Card Center (Bankalararası Kart Merkezi-BKM), continues to deliver innovative payment means with latest technology. BKM’s support expands for mobile cloud-based payments to provide common platforms and a greater choice to issuing banks that offer consumers secure ways to pay with smart phones. In this context, BKM announces a new option to securely deploy mobile payments, including for the first time in Turkey, an option to host contactless cards in a secure, virtual cloud.
BKM introduces first time in Turkey a new feature in the Android mobile operating system called Host Card Emulation (HCE); HCE allows any NFC application on an Android device to emulate a payment card enabling users to pay with their smartphones, while permitting issuing banks to host payment accounts in a secure, virtual cloud. The project enables contactless payments with mobile devices by using HCE (Host Card Emulation) technology, the most recent method of Near Field Communication (NFC) for payments. It is now possible to make contactless payments with this new project by presenting a mobile phone to a Point of Sale terminal with a contactless reader. The project to include all Turkish banks to the system until the end of 2015 is still in pilot.
Dr. Soner Canko, CEO of Bankalararası Kart Merkezi (BKM), said,
“Contactless cards enable fast and easy shopping without waiting in the queue. NFC technology allows to make contactless payments with mobile devices. Cloud based HCE is the most advanced and most recent method of NFC technology for payments. HCE payment applications run independently from the services of mobile operators and without any need for a SIM Card replacement. This technology, which has started to be used in 2014 throughout the world, is now available in our country. Android based smartphones, which are compatible with NFC, can now be used for contactless transactions with HCE. This common project of BKM with the banks will allow Turkish cardholders to benefit from contactless transactions with their own smart mobile devices, thanks to HCE technology.”
84 percent of smart devices being used in Turkey are Android
Today 84 percent of mobile devices in Turkey are Android based and HCE contactless payments with mobile devices start initially with devices running Android 4.4 or higher versions, which are compatible with NFC. Users that want to benefit from HCE technology to make contactless payments with their mobile devices must apply to their banks and download the mobile application to their devices and then activate the application before using it. Cardholders can now make contactless payments through HCE technology with their mobile devices in more than 90K contactless payment points throughout Turkey.