LTA pilot to allow contactless transit fare payment with credit, debit cards by end-2016

It’s the first pilot of its kind in Asia.

The Land Transportation Authority (LTA) has upped the ante for Singapore transit, as a partnership with Mastercard will allow Singaporeans to be the first commuters in Asia to contactlessly pay for transit fares with credit and debit cards by the end of 2016.

According to a joint release by Mastercard and LTA, the pilot will allow registered Mastercard cardholders to use their debit and credit cards for contactless payment of bus and train journeys. This eliminates the need for a separate transit card and fare top-ups.

The pilot aims to lure in 100,000 users for the pilot.

“Through this public-private partnership, we look forward to the start of the pilot at the end of this year, when commuters in Singapore can be one of the first in Asia to experience this additional fare payment option,” asserted Chew Men Leong, Chief Executive of LTA.

“With this new option, they will be able to do away with the hassle of topping up their fare cards,” he added.

LTA announced in March it will be piloting the Account-Based Ticketing System, which will allow customers to use their contactless debit or credit cards for public transit. Their transactions will then be billed on their debit or credit card, similar to a post-paid mobile phone bill.

LTA also notes that it is working on enabling mobile phones for contactless use on public transit, further enabling commuters to track their journey and fare history through a mobile app or web portal.

More From Singapore Business Review

• Office REITs likely to take a huge hit as Brexit unfolds, say analysts
  

• MAS faces pressure to ease as Brexit drives SGD to record high
  

• This startup wants to become the ‘Spotify’ for investment research