Visa tests credit card on cellphone

Visa is field testing a credit card on your cellphone. This is similar to the payment system that the Japanese have going with DoCoMo. This is how the new system is designed to work

You buy a phone with the appropriate near field communication chip in it.
You connect the phone over the mobile Internet to your bank to set up your payment account.
When you want to buy something, you wave the phone within 4 cm of the terminal at the merchant. The transaction proceeds as if you have swiped your magnetic stripe card in the terminal.

Pretty cool. Hope the tests are successful and we get to use this tech implemented here in North America. Keep in mind that the latest mobile technology is always implemented in Europe and Asia way before North America gets it so be prepared for a long wait.

Photo by Wonderlane