Country?s First Contactless Debit & Credit Cards Launched
Contactless Debit/Credit Cards

11 Benefits of Contactless Debit & Credit Cards in India 2020

Updated: Jan 20, 2020

Don’t like waiting in a queue for your turn to swipe your debit or credit card to pay for your purchases in the supermarket?

No worries…  Sooner, it’s going to be a thing of the past in India.

Because Indian banks are now providing contactless debit and credit cards for secure and faster payments over the sale counters.

First Contactless Card was used in the UK in 2007 issued by Barclaycard. The current usage of contactless payments in the UK alone is 4.3 billion GBP.

You may also read – Best credit cards in India.

10 Benefits of Contactless Debit & Credit Cards in India 2020


ICICI Bank took the credit of launching the first contactless credit card in India in 2015.

Let’s have a look at how the contactless cards work and what are the benefits of using them.

How do contactless cards work?

You can do payments from contactless debit or credit card by just waving or tapping your card over a card reader machine.

Contactless cards use Near Field Communication (the same as found in smartphones) that works on radio waves. Contactless credit cards have a chip inside that sends information in the form of radio waves ), a card reader machine (RFID Reader) picks up the signal and processes the payment.

10 Benefits of Contactless Debit & Credit Cards in India 2020

10 Benefits of Contactless Debit and Credit Cards

Benefits for customers

1. Less time in queue. Contactless card transactions are amazingly fast because you just need to tap the card over the machine. Since you need not waste time in swiping the card and then entering the PIN, you save your precious time (especially if the queue is long).

2. Easy to use. If you tend to forget your PIN often, then contactless cards are a blessing for you. It is also convenient for older people who don’t remember PINs or not confident of using the PIN in public. A single tap has simplified the process.

3. Contactless Debit or Credit cards are secure to use because you don’t need to hand over your card to someone else. Since your card remains in your custody always, nobody can misuse your card for default transactions.

4. Contactless Debit or Credit card doesn’t need to physically contact any device as it happens in old swiping/dipping machines. You just need to tap over the machine yourself and wait for the approval beep.

5. You can even wave your card over the card reading device and it will do the transaction. How easy and secure it is !!

6. Contactless Cards use the Near Field Communication (NFC) mechanism, the same as found in the smartphone which is a secure communication medium. That ensure’s you safer transactions. These cards are read by Electronic Data Capture (EDC) machines.

7. You can use (contactless credit and debit cards) as regular cards at all merchant terminals if the contactless transaction facility is not available.

8. Reducing the stress of keeping enough cash to pay for the shopping.

Benefits for merchants

9. Faster transactions tend to more customer satisfaction.

10. As per the smart payment association, customers using contactless debit or credit cards tend to buy more often than other customers. More sales, more revenue.

11. Reduced cash handling with digital transactions.

Other benefits of these cards-

12.  Apart from contactless transactions, Credit Cards give you a lot of benefits if you use consciously. They provide you attractive offers such as reward points and cashback on dining, groceries and at supermarkets,  complimentary access to airport lounges and offers on movie tickets, online shopping, and fuel. Different cards offer different benefits.


Technology has simplified our lives so much. If you live in a fast city like Delhi and you may easily relate the benefits of contactless cards with a Metro Traveler Card which is also a form of contactless debit card issued by the Metro department.

How did you like the article? Tell me in the comments. You can also share if you know any benefit which I couldn’t include in the article.




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