WaMu to Become Largest US Issuer of Debit Cards with MasterCard PayPass

Washington Mutual has announced that it "expects to issue 12-15 million Debit MasterCard with PayPass cards in 2008, making it the nation's largest issuer  WaMu launched Debit MasterCard with PayPass nationwide in January, offering the card to new customers opening its signature WaMu Free Checking account, as well as to all WaMu Small Business customers. In March, the bank began issuing Debit MasterCard with PayPass to customers whose debit cards are renewing

MasterCard PayPass is a new contactless payment feature that provides cardholders with a simpler way to pay for small purchases -- tapping the card on a point-of-sale terminal reader at participating merchants rather than swiping or inserting it, just "Tap & Go^TM!"

"Our ability to offer customers a fast, convenient and secure way to make their everyday purchases is completely consistent with WaMu's ‘simpler banking' approach," said Nandita Bakhshi, division executive, Consumer Deposit Products. "Studies show that MasterCard PayPass cards have shorter transaction times than cash or signature transactions, and we believe the added ease and convenience is a benefit WaMu customers will appreciate."

Customers can make purchases by tapping their PayPass card over special terminals at select restaurants, gas stations, convenience stores, pharmacies, movie theaters, and other locations. Merchants that accept PayPass include AMC Theaters, BestBuy, CVS, 7Eleven, McDonald's, Office Depot, Petco, and Tully's. (To learn more about WaMu Debit MasterCard with PayPass, visit http://www.wamu.com/paypass)

"Our research shows that cardholders who use their MasterCard PayPass cards tend to make them their preferred cards, which will deliver an economic benefit to WaMu by driving its cards to the ‘top of wallet,'" said Bill Mathis, group executive, US Relationship Management, MasterCard Worldwide. "WaMu's issuance of 12-15 million Debit MasterCard with PayPass cards will greatly accelerate the shift by consumers and merchants to contactless payments, creating shorter lines and loyal customers along the way.