Chase Bank USA has announced that their United Mileage Plus Visa credit card, which is issued in conjunction with United Airlines, is the first airline rewards credit card to feature a new technology called "blink." Blink technology was rolled out by other credit cards over the past year, but the United Mileage Plus Visa card is the first airlines reward card to offer it.
Blink is a new, contact-free technology which allows card members to use their credit cards by holding them close to special terminals, eliminating the "card swipe" usually needed to perform a transaction. The terminal will respond to the signal sent by the card by issuing a tone and lighting up, signaling that contact has been made and the payment confirmed.
The United Mileage Plus Visa cards featuring blink technology were issued this summer to residents in Colorado, which is a major hub for United Airlines.
The main purpose of blink technology is to speed up transactions. Swipe cards do not always perform as expected, particularly when the card has been worn down and the magnetic strip is no longer in good condition. Studies have shown that in the drive-thru ATM environment, the blink card can reduce transaction time by up to 20 seconds in comparison to swipe cards. The hope is that blink cards will reduce the time consumers spend waiting in line, make ATM transactions easier, and eliminate some problems caused by swipe machines that often malfunction.
The benefits of credit cards with blink technology are not all on the side of the consumer. Research has also shown that customers using blink cards seem to spend more money per transaction. In general, the transaction goes more quickly, works more smoothly, and leaves users more satisfied with their entire shopping experience. This means that retailers will be eager to get on the blink card bandwagon as well, since it will improve the overall satisfaction of their customers.
Chase Bank has already launched a market roll-out of credit cards featuring blink technology. The Chase card roll-out began in May of 2005, and Chase cards that work on the blink system are already fairly widespread in Atlanta and Denver. By December of this year, Chase is planning to have their blink cards active in thousands of locations across the country. Other banks and credit unions are expected to follow.
To read up on this amazing new technology, check out this publication: http://www.contactlessnews.com/
