Chase Paymentech Gets MasterCard Approval to Process Chip Transactions

MasterCard Canada today announced that Chase Paymentech Solutions has become the first acquirer in Canada to receive approval from MasterCard to process chip transactions. Chase Paymentech’s approval sets the stage for the introduction of MasterCard chip cards in 2007.

“The transition to chip is the most significant evolution of the Canadian payments industry since the introduction of the credit card in the 1960s,” said Sam Jawad, President, Chase Paymentech Canada. “We are pleased to be the first Canadian acquirer to earn MasterCard approval for processing chip transactions. And, our merchant customers will be pleased, too, as we begin to work with them to upgrade their checkouts and point-of-sale devices to accept chip cards.”

MasterCard’s strategy for helping issuers’, acquirers’ and merchants’ transition to chip is based on following customer-friendly principles and a commitment to cost reduction. Rather than imposing hard and fast threshold dates for the transition to chip, MasterCard is helping organizations identify the business opportunity in chip and plot a business strategy to enable it.

“Chase Paymentech has played a significant role in strengthening our relationship with merchants and we look forward to continuing to work together to introduce chip to their merchant customers in the coming months and years,” said Kevin Stanton, President, MasterCard Canada.

“From ‘Tap & Go’ payments with PayPass to Chip and PIN, MasterCard is advancing the Canadian payments industry. MasterCard and Chase Paymentech will help reduce the cost of chip implementation and ease the transition to chip by helping businesses become chip-ready in conjunction with their regular equipment and system upgrades,” said Stanton.