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Taco Bell Testing MasterCard PayPass

by Peter Andrew
Taco Bell Testing MasterCard PayPass

Fast food chain Taco Bell and MasterCard announced yesterday a test of MasterCard’s “contactless” PayPass system of credit card acceptance. Assuming the trial is successful, Taco Bell plans to offer the payment technology at all of its 1200+ company-owned Mexican restaurants and many franchisee-owned restaurants as well.

About 100 Taco Bell locations will begin accepting MasterCard PayPass in the fourth quarter of 2007, with more added based on the results of the trial. Taco Bell will accept the credit card payments at both the drive-through or via the counter for dine-in customers.

PayPass works through radio frequency identification (RFID), which allows cardholders to tap the cards against PayPass-enabled readers, leading to quicker transaction times than traditional card swiping. For purchases under $25, which would probably cover most Taco Bell purchases, customers do not have to sign a credit card receipt.

Taco Bell will continue to accept traditional swiped credit cards regardless of whether the PayPass rollout is successful.

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