ABN Amro: Contactless debit cards by year end
Many ABN Amro customers with current accounts will gain access to contactless payment by the end of the year. The bank's 2.3 million debit cards will be replaced throughout 2015, with 2.4 million more replaced next year. The bank is again issuing cards suitable for contactless payment on Wednesday, after dealing with nearly half a million cards already issued that were vulnerable to a security leak.
“Contactless payment is gaining popularity. Every month we see the number of contactless transactions doubling,” Gijs Schreuder, private transactions director said. “We are pleased that we can provide contactless payment for all customers by the end of the year. This is a fast, easy and secure way to pay.”
ABN Amro was the first bank in the Netherlands to start issuing contactless debit cards in 2013, but announced problems with cards sent to customers between November 2013 and February 2014. The cards were recalled because it was possible to randomly guess the PIN codes, and then using a radio antenna, capture a single card's data and create a copy.
At the time of the recall just before Christmas, the bank said no money was ever stolen, and it was largely a preventative measure. Roughly 430,000 cards were recalled.
Currently, more than 70,000 out of 300,000 payment terminals are suitable for contactless payments. Possibilities of contactless payment are also appearing in other countries, such as Germany, Spain, France and Switzerland.
By contactless payment, customers can execute transactions up to 25 euros by holding the card next to the terminal. Entering a PIN for amounts below 25 euros is not required.