PayPal Inc. has delivered on its promise to activate contactless payments for its mobile wallet.

The eBay Inc. subsidiary said Tuesday on its blog that the latest update to its app for Android handsets adds support for near-filed communication. PayPal, of San Jose, previewed its plans to do so in July.

Using NFC, PayPal customers can exchange money by tapping their phones against each other. The process is similar to the "bump" system PayPal uses on non-NFC phones, such as Apple Inc.'s iPhone. Such phones use a built-in accelerometer to detect the bump.

PayPal also updated some aspects of the app's interface.