Commonwealth Bank of Australia plans to test contactless credit cards provided by Gemplus International SA of Luxemburg.
The test will be the first such one in Australia, Commonwealth said.
Gemplus announced the deal to test its Geminstant card Monday.
The six-month test of MasterCard Inc.'s PayPass contactless format will involve 33,000 Commonwealth customers and 150 merchants, including fast-food restaurants and convenience stores. The card contains a contactless chip that can authorize transactions of less than $25 without a signature or a PIN.
Contactless cards are aimed at low-value purchases and are designed for speedy transactions. The technology is becoming common in the United States, and several major banking companies, including JPMorgan Chase & Co., have issued millions of the cards. The cards feature a radio-frequency identification chip that transmits account data to a special card reader. Banks say these transactions are faster than swiping a traditional magnetic-stripe card.
