The CurrentC payment system created by Merchant Customer Exchange (MCX) is likely to face tough competition from Apple Pay in the coming days as the MCX group of retailers are gradually willing to support an alternate payment option. Some select stores like Meijer, member of MCX have started to accept Apple Pay.
The CurrentC version is a payment option that connects to users’ bank accounts rather than credit card data and the MCX members who use this version did not want Apple Pay in their stores. Meijer, a leading retailer in the Midwest, have started to accept Apple Pay after the store has the mobile wallet system in place for several years. Apple is heavily promoting its new payment system through partnerships and branding and hopes to convince all the retailers.
On the other hand, MCX expects to attract retailers by the offering removal of interchange fees for credit card consumers for every transaction. This will be a major advantage to retailers as it was reported that more than $48 billion was paid to credit card companies in 2013. Meijer has started to adopt both the payment methods and has not been removed from the MCX group. The company’s website mentions that it accepts both Apple Pay and CurrentC.
Scott Rankin, COO of MCX stated that retailers using CurrentC system will not be allowed to use Apple Pay though it remains unclear if there would be any fine, if the member retailers decide to use both. However the group faced criticism for allowing Meijer to continue using both the systems and for being hacked just before the new payment system was launched.
Apple’s payment system id designed for use only with it NFC chip and will never partner with any other payment system. The battle has already started to heat up and the final result will be seen in the coming days.