Creditnet News Story
Chicago Transit Authority moves ahead with credit card plans
Saturday, June 26, 2010
By Thomas Astery
Commuters may soon find that they can use their credit cards to do something besides consumer spending.
The Chicago Transit Authority has experienced significant delays as the summer begins, and says the delays have been caused by those unfamiliar with its system, according to the Chicago Tribune. With this in mind, the CTA is moving forward with plans to implement a "smart card" system that will allow riders to pay with credit cards.
The paper said that frustrations caused by "out-of-town visitors and suburban day-trippers" led to the decision. The CTA says cash fares take about 25 seconds compared to two seconds with credit cards and 300 milliseconds with smart cards. The added convenience of paying with credit cards will save commuters time and the CTA millions of dollars.
Chicago is one of several major cities to consider such a switch. Earlier this month, New York City began allowing use of smartcards with the "PayPass" chip in them to pay for subway and bus fares. According to NBC television station WNBC, 50 percent of all payments on larger transit lines this month have been made with smartcards.
