Australia - Electronic Purses (Smart Cards)

Synopsis

So-called smart cards come in a variety of forms and for a range of purposes, from stored value cards and payment vehicles, through loyalty cards issued by retailers, up to multi-purpose cards. The electronic magnetic strip has been the mainstay of smart cards, though there are increasing moves to cards with higher capacity microchips. This report looks at the global scenario and influence of Visa and Mastercard, as well as the Australian market place for credit/debit cards and a gradual shift to all-in-one cards. Credit card reform is topical in 2002 with the Reserve Banks move on the sector, while Telstra has repositioned itself out of loyalty cards with the aim of moving into credit card service provision.