ICICI Bank is set to roll out an HCE mobile payment solution to enable its credit and debit card customers to make payments with their smartphones at NFC-enabled terminal.
The mobile payment solution available in the bank’s ‘Pockets’ app, provides improved convenience of
‘Touch & Pay’ as customers are no longer required to carry physical card or cash to pay in stores.
ICICI Bank will be using Host Card Emulation (HCE) technology to create ‘virtual’ cards for ‘physical’ credit or debit cards (Visa/MasterCard) of the Bank, as selected by the customer.
The virtual card resides in the Bank’s secure cloud server. Using the virtual cards, an ICICI Bank customer can initiate electronic payments from NFC enabled smartphones by just waving his/her phone near a contactless merchant terminal.
While the virtual card bears a different card number, the credit limit and expiry date remains same as the original physical card.
The customer’s card details are stored virtually in the bank’s secure cloud server and not on the customer’s mobile phone. Additionally, the display of the card on the smartphone shows only last four digits of the virtual card. Thus, even if a customer loses the mobile phone, he will not lose any confidential information.
“As of now 40,000 terminals are ready to accept NFC payments and we are in the process of increasing this number. As per RBI laws the maximum amount of transactions is Rs 2,000 as of now. We as a bank want to open all the possible channels for interaction of a customer and reduce all forms of friction in the system of payments and this is part of that effort,” said Rajiv Sabharwal, executive director, ICICI Bank.