MasterCard has unveiled its plans to launch debit card service in Canada next year to grow its debit business outside of the US.
MasterCard, which scrapped a previous plan of entering Canada’s debit market in 2010, has renewed its plans to enter the market in 2015 because of the explosive growth of digital payments, reported The Wall Street Journal.
MasterCard, that rang up to $260bn in debit transactions in the third quarter, will focus on the limitations that Canadians face while using debit online apart from targeting international in-store debit purchases made by Canadians when they travel abroad.
The introductory debit card service will charge competitive processing fees with the aim to woo the Canadian cardholders from other competitors including the Interac Association and Visa.
Betty DeVita, president of MasterCard Canada, said: "Debit is big business for Canada. A number of Canadian financial institutions are working on launching MasterCard debit."