Contactless card payments grew significantly during the pandemic. As contactless payments were promoted as the safest way to make a transaction. Here in the UK the contactless limit rose from £30 to £45 in 2020.
According to the Mordor Intelligence report: Contactless Payment Gateways Market – Growth, Trends, Covid-19 Impact, and Forecasts (2021 – 2026),
‘The Global contactless market was valued at USD 13.23 billion in 2020 and is expected to reach USD 51.07 billion by 2026.’
In 2020, ‘Nearly one third of all card transactions in the UK were made using contactless cards, a 19.5% increase from the previous year.’
On October 15 2021, the UK contactless limit rose again to £100. The decision, by HM Treasury and the Financial Conduct Authority, follows public consultation and discussion with both the retail and banking sectors.
“Increasing the contactless limit will make it easier than ever to pay safely and securely,” said The Chancellor, Rishi Sunak, announcing the change.
“As people get back to the high street, millions of payments will be made simpler, providing a welcome boost for retailers and shoppers,” his statement added.
Although the changes started from Friday October 15, 2021, it may take up to 30 days before the new limit is available across the whole retail industry, as it requires an update to all card readers in the UK.
What do I need to do to update my card reader’s contactless limit?
The PAX A920 terminal when charging, will prompt and automatic update.
Card readers from Elavon will automatically download this update at some point in the 30 days following October 15, 2021.
For Poynt and Mobile Merchant card readers the automatic update will take place more quickly, within 10 days.
If you have an Ingenico card reader and you haven’t yet had an automatic update, you can follow these simple steps:
- Batch your terminal using the END-OF-DAY function
- Go to the MAIN MENU, select TERMINAL, Then CONFIG UPDATE. Enter User password and select YES to configure update.
- The Terminal Management System (TMS) will install the update. Your terminal will automatically restart, ready to accept contactless payments up to £100.
Most terminals will just need a reboot, but if you are unsure of the changes for your device contact your provider to find out when the contactless limit will be updated to reflect this change.
Apple Pay or Google Pay do not have an upper spending limit when authenticated through biometric technologies like fingerprint or facial recognition.
If you have any questions regarding your card machine or the increase in the contactless payment. Please contact our team who will be happy to answer your questions or check on the Financial Conduct Authority for more information.