Use of credit, debit cards to pay transport fares: LTA to pilot system in Q4

Use of credit, debit cards to pay transport fares: LTA to pilot system in Q4

The system is similar to post-paid mobile phone subscriptions or utility bills as transactions will be processed and charged to the commuter in subsequent credit or debit card bills, says LTA.

MRT gantry

SINGAPORE: An account-based ticketing system - which allows commuters to use contactless debit or credit cards to pay their fare - will be piloted in the fourth quarter of this year. The Land Transport Authority (LTA) said on Tuesday (Mar 1) that it will be issuing a tender in "the next few months" to appoint an acquiring bank to provide the banking facilities for the system.

In a press release, LTA said the system will enable commuters to use their cards for transport fares, without the need for upfront top-ups. This is similar to post-paid mobile phone subscriptions or utility bills as transactions will be processed and charged to the commuter in subsequent credit or debit card bills, it added.

With the system, commuters will have an additional option for fare payment, and it eliminates the hassle of fare card top-ups, the authority said.

"Should the account-based ticketing pilot be successful, Singapore would be one of the few cities in the world to adopt this fare payment system," said LTA CEO Chew Men Leong. "Commuters can look forward to having more choices for fare payment without the hassle of topping up their fare cards.”

Additionally, LTA issued a tender on Tuesday looking for a consultancy to study the feasibility of implementing such a system on a scale beyond that of the pilot, and the study is expected to commence in the second quarter of this year.

The scale of the pilot will be revealed at a later date, said LTA.

Source: CNA/kk

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