Google and Nokia phones to offer Visa services

Phones powered by Google Inc's Android will be equipped with the services from Visa Inc. including alerts informing about the use of a customer’s credit card.

Besides starting from October Nokia mobile phone manufacturer will be selling the 6212 phone series that can be waved at an electronic reader to make payments and use for remote payments and money transfers.

As per reports coming from Visa the credit card company is still going on with the development and improvement of the application to allow in-store "contactless" payments by cell phone for Android.

Yet the service is not expected to gain wide popularity in a short time though it is very common today in such countries as Japan. In the US many years may pass before it becomes something usual. Stores in America need to install new card readers and cell phones with the corresponding technology would need to be in wider use.

For the present Visa says that Android users will be provided transaction alerts and discount offers from merchants on their mobile phones. In addition the application will allow customers to avail of Google maps and location technology in order to find the nearest cash machines and stores where special offers are available.

For the firs few months, the application will be available just to Android phone users who also have Visa cards issued by JPMorgan Chase banks. Other banks will be able to offer the aaplication in 2009.

In spite of a slow move of mobile payments services in the US Tim Attinger, Visa's global head of product development notes that mobile phones are key to adding new customers. While only 1.6 billion Visa cards are in use today there are over 3 billion people using cell phones.