In reply to Joseph Corcoran.

“Customers that have an existing Store Card from any MCX merchant will be converting their physical card over to the new App. Therefore adoption is guaranteed to be very large as MCX merchants today have in excess of 700 million such store cards. Loyalty will then be linked directly with the spend with the merchant through the App. …”

and

“… Corcoran says his idea … would give the transaction details to the payment processor and the customer, who would then authorize the transaction on their PC or phone and send the payment instructions to be processed.

“This meant that there was a double entry of the instructions and the merchant had no knowledge of the customers’ payment details, preventing any fraud and protecting the privacy of the customer. …

“This system, for the first time, enables customers to authorize the payment to the Merchant on their phone, before it is processed. The system can use QR Codes, NFC or Wi-Fi to enable the transfer of the transaction details to the customer’s phone and all of these technologies may be incorporated into a single eWallet or Merchant App. The system is totally secure and fully integrates Coupons and Loyalty Schemes.”

Regardless, the funds have to be accessed from the payer’s bank account, and this can only be done—for the nominal fee that the MCX group is looking for—via a financial institution and an Automated Clearing House (ACH) direct debit; and therein lays the problem for both payer and payee—the relatively primitive ACH direct debit function. The reality is the interactive credit card system was devised specifically for retail transactions; the non-interactive direct debit function was not so designed and was never intended for such purpose—dream on Joseph …

PS: Joseph, from where did you get the idea that MCX merchants have “700 million store cards”?

Retail Payments—The Reality ... http://bit.ly/1nSA1Zl

More on Joseph Corcoran and MCX at p78 of http://itlg.org/pdf/SVGMI4-WEB.pdf