Bank Of America Is Considering A Unique ‘Pay With Your Phone’ System

We’ve all heard of NFC (Near Field Communication) by this point, right? It’s a method that would allow users to make payments virtually by tapping phones. Well the latest iPhone didn’t adapt that type of technology, but according to Reuters, Bank Of America is testing out a new system that involves a totally different concept. Ultimately, people could scan a QR-code type of image with their iPhone’s camera and complete a payment.

Bank Of America is testing out that concept in Charlotte, North Carolina, in the United States, where the company’s second largest bank is headquartered. The pilot program will only be available to employees and will last three months. An application on iPhone and Android smartphones allow the completion of the transactions.

“The pilots provide us with the opportunity to explore innovative mobile solutions, engage our customers and utilize their feedback,” bank spokeswoman Tara Burke said.

The bank has partnered with Paydiant, a company with mobile-payment offerings, to offer the trial to employees. Read below for an example of how the system works:

In the Bank of America trial, Gardner said, one restaurant is using codes printed on receipts, allowing customers to pay at their table and leave.

Paydiant and Bank of America are able to profit from the small transaction fees added to payments. This system sounds like a great plan if stores around the city would be able to provide these payment codes. Considering the system is in its beginning phase, we aren’t sure if Bank of America has plans for expansion.