Singaporeans will soon use their smartphones to pay for public transit

Photo credit: Singapore Buses.

You know that near field communication (NFC) function on your smartphone that you never use? Well, if you live in Singapore, you will soon be able to do more with it than just getting the thingamajig at Starbucks to work to pay for your latte. Specifically, you can now use it to pay your way on public buses and the MRT, Singapore’s subway system. All you need is an NFC Transit SIM card, and luckily, the country’s three telcos just announced they’ll start selling it soon.

M1, Singtel, and Starhub subscribers will be able to get their NFC Transit SIM cards on the telcos’ respective outlets from April 2016 onwards. The cost will be S$37.45 (US$27), same as getting a new SIM card. M1 will waive the S$9.10 (US$6.70) card activation fee until 30 April, while Starhub and Singtel won’t charge the S$5 (US$3.70) EZ-Link registration fee for a limited time.

Singapore’s Land Transport Authority (LTA) says the cards are only available for a limited range of Android smartphones at the moment. The models are the following:

• LG Optimus G
• LG Optimus G Pro
• Samsung Galaxy Ace 3 LTE
• Samsung Galaxy Note 2 LTE
• Samsung Galaxy Note 5 4G+
• Samsung Galaxy Note Edge 4G+
• Samsung Galaxy S3
• Samsung Galaxy S3 LTE
• Samsung Galaxy S6 4G+
• Samsung Galaxy S6 Edge+ 4G+
• Samsung Galaxy S7 4G+
• Samsung Galaxy S7 Edge 4G+
• Sony Xperia Z
• Sony Xperia Z2
• Sony Xperia Z3
• Sony Xperia Z3 Compact
• Sony Xperia Z5
• Sony Xperia Z5 Compact
• Sony Xperia Z5 Premium

Dial P for Payment

The new SIM card, installed on a supported NFC-enabled phone, will allow for contactless payments on the MRT and LRT rail services, and public buses. The telcos are working with the Infocomm Development Authority (IDA) and EZ-Link, the current provider and operator of Singapore’s contactless epurse application (CEPAS) cards.

The EZ-Link system is easy to use and relatively secure, and is widespread enough to make it worthwhile.

With the EZ-Link ewallet system, currently housed in these EZ-Link cards, users can pay for public transit and for goods and services at participating outlets. A phone equipped with an NFC Transit SIM card can, essentially, be used in the same way as these cards – “tapping” the device on the receiver as you would a regular CEPAS card completes the transaction.

In addition, the EZ-Link app, currently available on Google Play, can be used to check the ewallet’s balance and transaction history.

Users will be able to pay with their phone at all outlets that accept EZ-Link cards for payment – around 30,000 locations across Singapore, including retailers, eateries, and taxis. Lists of supported outlets can be found here.

All telcos have existing mobile payments apps that will work with the NFC SIM cards. Singtel’s Dash app is already used for payments in selected taxi companies in Singapore, while M1 has Prepaid MasterCard, which allows users to top up M1’s prepaid mobile M Card or make purchases at merchants that accept MasterCard Paypass. Starhub has SmartWallet, which allows for contactless payments using the EZ-Link system, but didn’t previously include paying on public transit.

Image credit: EZ-Link.

Pick of the litter

This could prove a turning point for mobile payments in Singapore. EZ-Link cards are easy to use and relatively secure, and are widespread enough to make it worthwhile. However, the need to purchase new SIM cards and the limited range of phones supported (no iPhone support either, at the moment) could put off potential adopters.