NAB Jumps On The Apple Pay Bandwagon, Westpac Left Behind

NAB Jumps On The Apple Pay Bandwagon, Westpac Left Behind

National Australia Bank (NAB) has become the third of Australia’s ‘big four’ banks to switch on Apple Pay, leaving Westpac as the luddite.

NAB took to social media on Tuesday to announce the change.

NAB’s customers will now be able to use their Apple devices for tap-and-go payments.

Despite Apple formally launching its mobile payment service back in 2014, Australian banks have been hesitant in embracing the technology.

In 2015, American Express became the first financial services company to switch on Apple Pay, despite not all retailers accepting Amex.

ANZ was the first of the major banks to launch the product in 2016 and remained the only of the banks to offer Apple Pay up until the end of 2018.

In fact, the other three banks were keen to join forces and boycott the platform together, due to disagreements with the tech giant about interchange fee demands.

But since the Australian Competition and Consumer Commission (ACCC) threw out a proposal to boycott Apple Pay, the other banks have caved.

CBA turned on the service for its customers in January this year, which has now been followed by NAB.

And while NAB’s move leaves Westpac somewhat behind, Finder editor-in-chief Angus Kidman thinks it won’t be long until the last of the big four joins its competitors.

“Westpac will come to the party eventually, iPhone is too big a player in the phone market to ignore,” he told B&T.

“But right now Australians are happy with contactless via cards and we know the use of smartphone payments isn’t widespread, so it’s not mega-urgent.

“That said, there could be a perception of being late to the party, particularly amongst more digitally-savvy customers.”

He also suggested that with mobile payments still not overly common amongst Australians, Westpac’s late move will not be the cause of too much damage.

“Based on our consumer research we know many Australians aren’t in the habit of regularly using their smartphones to make payments and we’re still a long way before it’s common practice.”

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